Holey optical fibers (e.g. photonic fibers, random-hole fibers) are fabricated with quantum dots disposed in the holes. The quantum dots can provide light amplification and sensing functions, for example. When used for sensing, the dots will experience altered optical properties (e.g. altered fluorescence or absorption wavelength) in response to certain chemicals, biological elements, radiation, high energy particles, electrical or magnetic fields, or thermal/mechanical deformations. Since the dots are disposed in the holes, the dots interact with the evanescent field of core-confined light. Quantum dots can be damaged by high heat, and so typically cannot be embedded within conventional silica optical fibers. In the present invention, dots can be carried into the holes by a solvent at room temperature. The present invention also includes solid glass fibers made of low melting point materials (e.g. phosphate glass, lead oxide glass) with embedded quantum dots.