When aniline is oxidized in an aqueous medium in the presence of a steric stabilizer, colloidal polyaniline (PANI) dispersions are obtained. The generally accepted model of the stabilization assumes that the macromolecules of the water-soluble steric stabilizer are adsorbed at the polymer, precipitating during the dispersion polymerization, and provide steric protection against further aggregation. An alternative mechanism of conducting-polymer particle formation is proposed in the present study. We suggest that the steric stabilizer provides a site for adsorption of oligoaniline initiation centers; subsequent polymerization from anchored centers yields particle nuclei that grow to produce colloidal PANI particles. This hypothesis is based on the observation that the colloidal particles are obtained only in the case where the steric stabilizer is introduced in the early stages of polymerization when aniline oligomers are present in the reaction mixture. If the stabilizer had been added during the growth of PANI chains, colloidal dispersions would not have been produced. The process of particle growth is completely analogous to the formation of conducting PANI films on the surface of microparticles and various materials. There, the polymerization of aniline at the surfaces is preferred to the same process proceeding in the bulk of the reaction mixture. While the films grow at the interfaces with the reaction mixture, the dispersion particles similarly emanate from the stabilizer chains. The particle size, the formation of nonspherical morphologies, the importance of the chemical nature of the stabilizer chains, and the general relation between the conducting-polymer film and particle growth are discussed in the light of the proposed model. (C) 2004 Elsevier Inc. All rights reserved.