In this paper, we have studied and derive performance parameter of highly integrated Lithium Niobate optical modulator. This is a chirp free modulator having low switching voltage and large bandwidth. For an external modulator in which travelling-wave electrodes length L imposed the modulating switching voltage, the product of V π and L is fixed for a given electro optic material Lithium Niobate. We investigate to achieve a low V π by both magnitude of the electro-optic coefficient for a wide variety of electro-optic materials. A Sellmeier equation for the extraordinary index of congruent lithium niobate is derived. For phase-matching, predictions are accmate for temperature between room temperature 250°C and wavelength ranging from 0.4 to 5µm. The Sellmeier equations predict more accmately refractive indices at long wavelengths. Theoretical result is confirmed by simulated results. We have analysed the various parameters such as switching voltage, device performance index, time constant, transmittance, cut-off frequency, 3-dB bandwidth, power absorption coefficient and transmission bit rate of Lithium Niobate optical Modulator based on electro -optic effect.