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A novel indoor positioning algorithm with improved location accuracy is proposed for visible light communication system. The novelty of the positioning algorithm lies in a hybrid approach of making use of both frequency and variable phase of the transmitted signal. The algorithm has the capability of estimating the position of an object with localization error in millimeters when the signal passes through an optical channel. The LEDs are modulated at very high frequencies. The simulation results demonstrate that the positioning error is reasonably reduced compared with other existing approaches (algorithms). Unlike existing work, the current work also evaluates the performance of the positioning algorithm in the presence of different noise distributions and shows that 1-2 cm positioning accuracy can be achieved in the presence of the noise. Finally, multiple potential applications are discussed in which the proposed …