A novel two-dimensional physical simulator is investigated to accurately determine the non stationary transport properties and the quantization effects in subhalf-micrometer gate length FETs. Due to the microscopic nature of our simulator, it is well suited to study the effects of device geometry, doping level, bias voltage, and physical phenomena on the device performance. As an example, the model is applied to compare the noise behavior of millimeter wave MESFETs and Hetero-FETs and to determine the physical phenomena which are dominating their performance.