In this study, a new algorithm has been developed for Design Optimization of composite plates using Tsai-Wu criteria. Von-Mises stress criteria is used as design variable for the stress based Design Optimization problems. It is used to understand the effect of combined stresses on the isotropic materials. However, Von-Mises stress analysis is not appropriate for anisotropic composite materials. To define the strength of composite materials, maximum stress, maximum strain, Azzi Tasi Hill and Tsai-Wu criterias are used. In this study, failure index was used as design criteria and Tsai-Wu criteria was used to calculate this value in the optimization algorithm. Topology optimization, which is used for mass and shape optimization on structures, is a design tool. In this study, a new algorithm has been developed for topology optimization of composite materials. By using this algorithm, common geometric models and different fiber angles have been investigated. Nearly 50% mass reduction have been obtained by using the developed algorithm.