A VARIETY of crystalline materials have now been encapsulated in nanom
etre-scale graphitic cages(1-8) and tubules(9-11). For magnetic materi
als, encapsulation should serve the dual role of protecting air-sensit
ive particles against degradation and reducing the magnetic coupling b
etween individual particles, thus potentially opening the way for appl
ications of these composite materials as ultra-high density magnetic r
ecording media(12-13). But to realize this potential, the materials mu
st be available in the form of thin, smooth films, with precise contro
l of the size of the individual magnetic crystallites. Here we report
the fabrication and characterization of magnetic thin films, consistin
g of cobalt nanocrystals encapsulated in graphite-like carbon cages, t
hat meet these structural requirements.