On the basis of a GaAs-based heterostructure field-effect transistor with a catalytic Pd gate film, an interesting hydrogen sensor was fabricated and studied. A study of the hydrogen-induced dipole effect on device performance, including output resistance ͑r o ͒, Early voltage ͑V A ͒, and the drain saturation current ͑I DS ͒ operating regime, is reported. A significant change in the relative sensitivity ratio ͓S r ͑%͔͒ was observed in the cutoff region. In addition, a linear dependence between the logarithmic values of response time and hydrogen concentration is consistent with theoretical analysis. Experimentally, a high S r ͑%͒ of 348% in 9970 ppm H 2 /air was obtained in the cutoff region at 50°C. The width of the I DS operating regime decreased from 115.3 to 108.2 mA/mm with an increase of the hydrogen concentration from air to 9970 ppm H 2 /air. From the experimental results, it is speculated that the polarization of a dipole layer reduces the depletion region, which results in a substantial change in the two-dimensional electron gas ͑2DEG͒ and the effective channel length and shape.