Supersaturated titanium-aluminum nitride (Ti1-xAlxN) is a very attractive material for a wide range of applications due to its high oxidation and wear resistance accompanied by high strength, hardness, thermal conductivity and thermal shock resistance. Currently, its applications are limited to coatings obtained by physical or chemical deposition. Bulk materials based on Ti1-xAlxN may be fabricated by powder metallurgy approach using powders synthesized by high-energy ball milling (HEBM), which composition corresponds to supersaturated Ti1-xAlxN solid solution. In the present study, thermal stability of the supersaturated Ti1-xAlxN solid solution was investigated. According to the quasi-binary TiN-AlN phase diagram, constructed using density functional theory (DFT) analysis, the concentration ranges, where decomposition takes place through spinodal decomposition or through nucleation and growth, were determined. Experimental study on thermal stability of solid Ti1-xAlxN solution powder was conducted by means of differential scanning calorimetry (DSC), Brunauer-Emmited-Teller (BET) and XRD. The results indicated that spinodal decomposition of Ti1-xAlxN starts at 800°C, while at temperature higher than 1300°C regular decomposition (nucleation and growth) is occur.