In some of the more difficult applications of laser Doppler velocimetry such as in combustion research, transonic flow, transverse wind, and others, the optical signals are too small for classical detection methods. This paper summarizes the theory, experimental prototype hardware, and test results for a new type of highspeed photon-correlation signal processor which is being developed for weak laser velocimeter signals and other photon-resolved signals. The new system may also be considered to be a statistical digital frequency discriminator. It uses full multiplication with 10-nsec delay time and has the potential for extension to the measurement of the velocity correlations and spectra.