Transparent glass ceramic containing BaF(2):Ho(3+),Tm(3+) nanocrystals has been prepared by melt quenching and subsequent thermal treatment. The precipitation of BaF(2) nanocrystals was confirmed by X-ray diffraction and high-resolution transmission electron microscopy. Intense 2.0 microm fluorescence originating from Ho(3+): (5)I(7) --> (5)I(8) transition was achieved upon excitation with 808 nm laser diode. A large ratio of forward Tm(3+) --> Ho(3+) energy transfer constant to that of backward process indicated high efficient energy transfer from Tm(3+)((3)F(4)) to Ho(3+)((5)I(7)), benefited from the reduced ionic distances of Tm(3+)-Tm(3+) and Tm(3+)-Ho(3+) pairs and low phonon energy environment with the incorporation of rare-earth ions into the precipitated BaF(2) nanocrystals. The results indicate that glass ceramic is a promising candidate material for 2.0 microm laser.