Long-distance quantum communication requires quantum repeaters to overcome photon loss in optical fibers. Here we demonstrate a repeater node with two memory atoms in an optical cavity. Both atoms are individually and repeatedly entangled with photons that are distributed until each communication partner has independently received one of them. An atomic Bell-state measurement followed by classical communication serves to establish a key. We demonstrate scaling advantage of the key rate, increase the effective attenuation length by a factor of two, and beat the error-rate threshold of 11% for unconditionally secure communication, the corner stones for repeater-based quantum networks.
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