The hybrid entangled states generated, e.g., in a trapped-ion or atom-cavity system, have exactly one ebit of entanglement, but are not maximally entangled. We demonstrate this by showing that they violate, but in general do not maximally violate, Bell's inequality due to Clauser, Horne, Shimony and Holt. These states are interesting in that they exhibit the entanglement between two distinct degrees of freedom (one is discrete and another is continuous). We then demonstrate these entangled states as a valuable resource in quantum information processing including quantum teleportation, entanglement swapping and quantum computation with "parity qubits". Our work establishes an interesting link between quantum information protocols of discrete and continuous variables. [19][20][21][22][23]. In particular, violations of the Bell-type inequalities by the "regularized" EPR states produced in a pulsed nondegenerate optical parametric amplifier was experimentally observed by using homodyning with weak coherent fields and photon counting [22].In connection with the applicability of quantum superposition principle on a macroscopic scale, Schrödinger [5] described a gedanken experiment, in which a cat is placed in a quantum superposition of being dead and alive while entangled with a single radioactive atom. The mesoscopic equivalents of the Schrödinger-cat states [called hybrid entangled states (HES) in the subsequent discussion] have been experimentally realized for a 9 Be + ion in traps [24] and atoms in high-Q cavities [25]. Particularly, in the trapped ion experiment [24], the HES were generated by entangling ion's internal states (|↑, ↓ in the terminology of spin-1/2 particles) with discrete spectrum and motional states with continuous spectrum:where the motional states |x 1 and |x 2 of the ion are two distinguishable wave packets of a harmonic oscillator and thus denote quantum states with continuous variables. For the atom-cavity system, the entanglement of the type (1) occurs between a microwave cavity field and an atom [25]. These HES are of great theoretical interest in addressing some fundamental issues, such as decoherence and the quantum/classical boundary [24][25][26]. The trapped-ion system is a strong candidate for quantum computation [1,27,28]. In this paper we demonstrate the HES as a valuable resource in quantum information processing, building an interesting link between quantum information protocols of discrete and continuous variables. Quantum nonlocality of the HES is also analyzed by using the recently developed formulation [23]. For usual two-qubit (qubit-1 and qubit-2) systems, one can introduce the following Bell-basis spanned by the two-qubit states Ψ ± 1,2 = 1 √ 2 (|↑ 1 |↓ 2 ± |↓ 1 |↑ 2 ) ,The pairs of qubits are maximally entangled when they are in these states. An analogous Bell-basis spanned by four HES ψ ± 1,2 (z) = 1 √ 2 (|↑ 1 |z o2 ± |↓ 1 |z e2 ) , 1