A silicon-on-insulator (SOI)-based tunable laser is formed to include the gain medium (such as a semiconductor optical amplifier) disposed within a cavity formed within the SOI substrate. A tunable wavelength reflecting element and associated phase matching element are formed on the surface of the SOI structure, with optical waveguides formed in the surface SOI layer providing the communication between these components. The tunable wavelength element is controlled to adjust the optical wavelength. Separate discrete lensing elements may be disposed in the cavity with the gain medium, providing efficient coupling of the optical signal into the SOI waveguides. Alternatively, the gain medium itself may be formed to include spot converting tapers on its endfaces, the tapers used to provide mode matching into the associated optical waveguides.