A magneto-optic chip of Fe-(Co6Ag94) granular film was fabricated by combinatorial implantation of Fe ions into co-sputtered Co6Ag94 films. Structures of the as-prepared and annealed films have been estimated by XRD

and evidenced the precipitation and growth of granular phase. The AFM has been employed to study the surface morphology and the grains size. The changing of surface morphology with annealing temperature indicates that nanoparticles embedded in the Ag matrix have been formed during annealing. The effects of Fe content

as well as the annealing temperature on the magneto-optic polar Kerr effect have been investigated. It suggests that the Kerr rotations rise with increasing Fe content

which contribute to the magnetic moment. Precipitation and growth of Co

Fe

FeCo granules resulting from the annealing also lead to the increases of MOKE. The study shows that the addition of Fe increases the Kerr rotation of CogAg94 granular films

while the Mossbauer study shows that the precipitation of nanocrystallites plays a major role in the enhancements of MOKE.