LASER is the acronym for Light Amplification by Stimulated Emission Radiation. There are many different kinds of lasers, but the CO2 laser is one of the most widely used medical lasers in the world, and the one found in most veterinary clinics.
The CO2 laser produces an invisible beam of light that can be used to cut or vaporize skin and soft tissues. The veterinarian generally uses the laser for the cutting portion of the surgery, rather then a scalpel blade; but the laser can also be used to ablate small warts or tumors.
Any surgery that can be performed with a scalpel blade can be performed with the laser. The following are procedures that especially benefit from laser surgery:
Accuvet Laser Surgery: Pet Owners
Laser Surgery in Small Animal Practice, Dr. John Godbold DVM, US Companion Animal Health, 2006