The condition of a grinding wheel surface has a strong influence on the grinding results, such as grinding force, temperature, and work-piece surface roughness. The automatic image processing system has been developed in order to examine a grinding wheel surface condition quickly and precisely. The system consists of three components; (a) the surface grinder equipped with a wheel spindle driven by the servo-motor positioned at the angle accuracy of 0.01 degrees, (b) the observation system of a grinding wheel surface with a micro-scope, a CCD camera and a video-capture-board using digital handling technique of microscopic images, and (c) the newly developed software program for the automatic extraction of cutting edges on the images. The components are controlled with a personal computer operated by a multi-task Windows-OS. The system can evaluate the cutting edge density, the successive cutting edge spacing and the cutting edge ratio by processing 900 images of a 200-mm-diameter wheel periphery by every 670-μm width at the accuracy of 19 μm within 120 minutes.