A low drive-voltage optical modulator using a Ti-diffused UNbO3 optical waveguide has been fabricated. Stabilization against ambient temperature change was realized by using a miniature halfwave plate. The halfwave voltage, 3 dB bandwidth, optical insertion loss and extinction ratio were 3·8 V (at 1·06μm wavelength), 850 MHz, 10 dB and 13 dB, respectively. A reduction scheme for the optical absorption caused by metallic electrodes, and an analysis of the modulator high frequency response are also reported.