Chalcogenide based alloys find applications in a number of devices like optical memories, IR detectors, optical switches, photovoltaics, compound semiconductor heterosrtuctures etc. We have modified the Gurman's statistical thermodynamic model (STM) of binary covalent alloys. In the Gurman's model, entropy calculations are based on the number of structural units present. The need to modify this model arose due to the fact that it gives equal probability for all the tetrahedra present in the alloy. We have modified the Gurman's model by introducing the concept that the entropy is based on the bond arrangement rather than that on the structural units present. In the present work calculation based on this modification have been presented for optical properties, which find application in optical switching/memories, solar cells and other optical devices. It has been shown that the calculated optical parameters (for a typical case of GaxSe1-x) based on modified model are closer to the available experimental results. These parameters include refractive index, extinction coefficient, dielectric functions, optical band gap etc. GaxSe1-x has been found to be suitable for reversible optical memories also, where phase change (a yields c and vice versa) takes place at specified physical conditions. DTA/DSC studies also suggest the suitability of this material for optical switching/memory applications. We have also suggested possible use of GaxSe1-x (x = 0.4) in place of oxide layer in a Metal - Oxide - Semiconductor type solar cells. The new structure is Metal - Ga2Se3 - GaAs. The I-V characteristics and other parameters calculated for this structure are found to be much better than that for Si based solar cells. Maximum output power is obtained at the intermediate layer thickness approximately 40 angstroms for this typical solar cell.