The nucleation and grain growth of the Ge2Sb2Te5 (GST) thin films were studied using high voltage electron microscope operated at 1250 kV. As a result, we have found that 2 nm-sized nucleus forms as a cluster which atoms are arranged regularly at the stage of nucleation prior to the formation of grains having crystal structure. The high-resolution transmission electron microscopy study and fast-Fourier transformations revealed that coexistence of face-centered-cubic (FCC) and hexagonal structure occurs, and formation of twin defect is found in the hexagonal structure during the grain growth as the annealing temperature is increased. GST grain having the hexagonal structure grow from the surface, and the growth proceeded perpendicular to the [0 0 0 1], namely the path parallel to the (0 0 0 1) plane. Consequently, grain growth to a large-scale result in a lengthened shape. (c) 2005 Elsevier B.V. All rights reserved.