The polarity of rough and smooth grains in textured aluminum nitride boules were analyzed by transmission electron microscopy. Specifically, convergent beam electron diffraction method was applied to determine polarity. The grains corresponding to smooth and rough surfaces were identified as having Al and N polarities, respectively. Aluminum oxide (Al2O3) was observed to form at the grain boundaries. The oxide may precipitate due to the low mutual solubility between Al2O3 and AlN at the high crystal growth temperature (∼2000°C). Oxygen may be the cause of polarity inversion that leads to the formation of Al and N polar grains.