We report the spectroscopy and high-power continuous-wave (CW) diode-pumped laser operation of Er:Yb:YAl3(BO3)4 crystal. Absorption and stimulated emission spectra, emission lifetimes, and efficiency of energy transfer from Yb3+ to Er3+ ions were determined. A CW Er:Yb:YAB laser emitting at 1602, 1555, and 1531 nm with output power as high as 1 W and slope efficiency up to 35% ...