Semiconductor light emitting diode (LED) has become a promising device for general-purpose illumination applications. LED has the features of excellent durability, long operation life, low power consumption, no mercury containing and potentially high efficiency. Several white LED technologies appear capable of meeting the technical requirements of illumination. In this paper we present a new multi-color white (MCW) LED as a high luminous efficacy, high color rendering index and low cost white illuminator. The device consists of two LED chips, one is AlInGaN LED for emitting shorter visible spectra, another is AlInGaP LED for emitting longer visible spectra. At least one chip in the MCW-LED has two or more transition energy levels used for emitting two or more colored lights. The multiple colored lights generated from the MCW-LED can be mixed into a full-spectral white light. Besides, there is no phosphors conversion layer used in the MCW-LED structure. Therefore, its color rendering property and illumination efficiency are excellent. The Correlated Color Temperature (CCT) of the MCW-LED may range from 2,500 K to over 10,000 K. The theoretical General Color Rendering Index (Ra) could be as high as 94, which is close to the incandescent and halogen sources, while the Ra of binary complementary white (BCW) LED is about 30 ~ 45. Moreover, compared to the expensive ternary RGB (Red AlInGaP + Green AlInGaN + Blue AlInGaN) white LED sources, the MCW-LED uses only one AlInGaN chip in combination with one cheap AlInGaP chip, to form a low cost, high luminous performance white light source. The MCW-LED is an ideal light source for general-purpose illumination applications.