In order to understand the formation of nanosize magnetic domains in Co76Cr24 thin films for ultra-high density perpendicular magnetic recording, film thickness and sputtering gas pressures were investigated using a facing target sputtering (FTS) apparatus. Investigations of these films showed they were composed of highly oriented hcp crystallites with lower Cr content (Cc,) of isolated ferromagnetic areas uniformly distributed in the higher Cc, host paramagnetic matrix. Diameter of the lower Cc, areas in these films was between 3 similar to 5 nm. The perpendicular coercivity in the surface region was greater than 2400 Oe. Consequently, this film is considered to be a good candidate for perpendicular magnetic recording densities approating 1000 Kfci (10Gb/in(2)).