We report strong instantaneous photoinduced absorption in the quasi-one-dim
ensional Mott insulator Sr2CuO3 in the IR spectral region. The observed pho
toinduced absorption is to an even-parity two-photon state that occurs imme
diately above the absorption edge. Theoretical calculation based on a two-b
and extended Hubbard model explains the experimental Features and indicates
that the strong two-sphoton absorption is due to a very large dipole coupl
ing between nearly degenerate one- and two-photon stares. Room temperature
picosecond recovery of the optical transparency suggests the strong potenti
al of Sr2CuO3 for all-optical switching.