The project will prepare novel semiconductor materials based on layered transition metal dichalcogenides in which electrons are confined in atomically-thin planes. This strong confinement leads to new properties that will be understood in this project: strong electron-electron interactions, strong electron-defect interactions, and atomically-sharp heterostructures. Additionally the novel electronic structure of the dichalcogenides leads to new electronically and optically addressable information storage and transmission based on the 'valley' of the electrons. These new properties will enable photovoltaics, quantum-confined devices operating at room temperature, and new information processing based on the valley degree of freedom.