Nanocomposites, consisting of a hard magnetic rare earth-transition metal p
hase exchange coupled to soft magnetic alpha-Fe or alpha-(Fe,Co), exhibit e
nhancement of the remanent magnetization due to exchange coupling across in
terfaces between grains. Modeling studies have shown that crystallite sizes
of less than 20 nm are generally required for significant remanence enhanc
ement and values of remanent magnetization equal to 70%-80% of saturation m
agnetization have been reported in mechanically alloyed two phase mixtures
of alpha-Fe and a hard magnetic phase, such as Nd2Fe14B. Studies of microst
ructural evolution during mechanical alloying have shown that as-milled str
uctures consist of a magnetically soft two phase mixture of alpha-Fe and an
amorphous phase. Similar microstructures are observed regardless of whethe
r mechanical milling or mechanical alloying has been carried out. Heat trea
tment above a critical temperature is required to crystallize grains of the
hard magnetic phase. The formation of metastable intermediate phases with
interesting magnetic properties may precede formation of the equilibrium ph
ase. It is found that the crystallization temperature is an important param
eter determining the grain size of the soft magnetic phase and, hence, magn
etic properties. Recent measurements of the reversible and irreversible mag
netization behavior of this novel class of permanent magnet are also discus
sed. (C) 1998 American Institute of Physics. [S0021-8979(98)42911-6].