Mixture of aluminum and amorphous Ti-43at%Cu powders was mechanically alloyed to produce aluminum powder with a dispersion of amorphous particles. Microstructural changes in the both particles during the mechanical alloying and influence of heating on the structure of alloyed powder were investigated by using X-ray diffraction and differential thermal analysis. In the powder mechanically alloyed for prolong milling period than 14.4ks, intermetallic Al2Cu phase is formed by the heating at 600K and the Al3Ti and Al2Cu3 phases are formed at 800K. The forming temperature of Al3Ti and Al2Cu3 phases decreases with the increasing of milling period. Crystallization of AITi from t1he amorphous phase begins at about 700K. Extrusion of the mechanically alloyed powder was carried out at 573K, the amorphous structure of Ti-43at%Cu particle was unchanged during the heating at that temperature. The hardness of the extruded alloy increases with increasing of the mechanical alloying period and the heating temperature.