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In this paper, we present the efficiency and performance of pulse position modulation (L-PPM) for indoor wireless infrared communication system. This was achieved through physical characteristic of infrared channels using intensity modulation with direct detection (IM/DD). Noise in the channel is considered as additive white Gaussian noise. We evaluate power and bandwidth efficiency compared with on off keying (OOK). We have computed the path loss versus horizontal separation between transmitter and receiver in LOS and diffuse link, and our results have shown the best average power efficiency among the modulation techniques, which are presented for 2, 4, 8, 16, 32, and 64 PPM at bit rates of 10 Mb/s to 100 Mb/s. Finally, we present Monte Carlo simulation results to bit error probability and the best signal to noise ratio that L-pulse position modulation requirement.