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The influence of energy-transfer upconversion (ETU) on the performance of diode-end-pumped lasers is studied by including ETU effects into the space-dependent rate equations. The dependence of ETU rates on the mode-to-pump size ratio and on the output mirror transmission is derived. Experiments for Nd:YAG and Nd:YVO/sub 4/ crystals are performed to validate the present model. It is found that the ETU process increases the sensitivity of the output power to the output mirror transmission but its influence on the output power is not significant for low output transmission.