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Studies of the effects of substrate temperature T, on the evolution of CO( 1 10)/Cr(002) texture, magnetic and physical grain size, intergrain-interaction, anisotropy, orientation ratio of remanence and coercivity were investigated experimentally. It is found that the hcp- Co(l10)hcc-Cr(002) texture is improved with increasing T, from 27OC to 265°C. The intergrain-interaction, magnetic and physical grain size decrease with increasing Ts and reach their minima at T,- 265°C where the magnetic grain size is close to the physical grain size. The correlation between the film microstructure and magnetic properties is studied systematically.