Structural evolution of transparent conductive In 2 O 3 -ZnO (IZO) films with increasing substrate temperature during sputtering was studied using transmission electron microscopy (TEM) and spectroscopic ellipsometry. Increasing the substrate temperature can induce film crystallization in the initial growth stage, and enhance the crystallization of IZO films. Extensive simulations using ellipsometry data demonstrated a decrease in the crystallization rate for IZO films deposited between 200 and 300• C, which is attributed to the influence of the interference between nearby growing grains. TEM observations also reveal that the growth competition between different crystallites leads to an increase in the lateral grain size with increasing substrate temperature. During physical vapor deposition, crystallization often starts from an amorphous matrix, and then grows to form the polycrystalline film with a typical columnar structure. Such a transformation in the crystal structure can be attributed to the effect of deposition rate and surface diffusion [6]. Currently, there is a demand for experimental confirmation and direct observation of such structural evolution. In this study, spectroscopic ellipsometry (SE) was explored to study the crystallization transformation arising from surface diffusion.The SE technique does not determine sample properties directly, but rather measures the ratio of complex reflectances for s-and p-polarized light, which is changed to