Breakdown voltage is the largest voltage that can be applied to a diode under reverse biased condition, without causing a large increase in current. When the P-N junction diode is under reverse biased condition, only a small current (in the range of micro amperes), due to the minority carriers will flow through it up to reverse break down voltage. But, when the breakdown happens, large current flows through the diode and it may cause permanent damage to the crystal structure of the diode.