A variable-angle, wide-angle illuminator is disclosed, one embodiment being a small-gauge, variable-angle illumination surgical system comprising: a light source for providing a light beam an optical cable, optically coupled to the light source for receiving and transmitting the light beam a handpiece, operably coupled to the optical cable an optical fiber, operably coupled to the handpiece, wherein the optical fiber is optically coupled to the optical cable to receive and transmit the light beam an optical assembly, optically coupled to a distal end of the optical fiber, for receiving the light beam and providing the light beam to illuminate a surgical field and a cannula, operably coupled to the handpiece and optical assembly, for housing and directing the optical assembly to illuminate a selected area, such as a surgical site. The optical assembly can comprise, for example, a fiber/polymer-dispersed-liquid-crystal (“PDLC”) diffuser optically coupled to an optical needle or a nested compound parabolic concentrator (“CPC”) cone. In the PDLC diffuser/needle embodiment, the fiber can be a standard endo-illuminator optical fiber with 0.50 NA or similar value. The light beam from the light source is emitted from the distal end of the optical fiber and provided to the PDLC diffuser for further transmission. The degree of diffusion of the light beam at the PDLC diffuser can be electrically controlled and can be varied from no diffusion to very high degree of diffusion. After passing through the PDLC diffuser, the light beam is provided to a needle or fiber, such as a glass needle or fiber, that transmits the light beam to the surgical site in the eye.