ZnO and Zn 1−x Ni x O (x = 1, 2 and 3 mol %) were prepared by the sol gel via ultrasonication method with the Ni concentrations of 1, 2, and 3 mol %. The samples were characterized by high resolution scanning electron microscopy, X-ray diffraction, TEM, and UV-DRS spectroscopy. The XRD spectrum reveals that all the samples are of hexagonal wurtzite structures. The crystallite size decreases with increasing Ni concentration. The Ni concentration is determined by the energy dispersive X-ray technique. From the UV spectra, upon Ni doping the characteristic peak is red shifted which is the indication of decrease in the band gap. Magnetization measurements reveal that Ni doped ZnO shows paramagnetism with enhanced Ni concentration.