The Ni(OH)2-Ag2O powders were prepared with materials NaOH, NiNO3•6H2O and AgNO3 by chemical co-precipitation method. The reaction conditions were that Ni2+ solution concentration 0.0943mol•L-1 and Ag+ solution concentration 0.0943mol•L-1 in the Ni2+-Ag+ composite solution concentration, the NaOH solution concentration 4mol•L-1, dropping speed of the NaOH solution 50ml•min-1, the pH value of reacting terminal 13, the stirring speed 1200r•min-1, the reacting temperature 25°C, the reacting time 60min. Ni(OH)2-Ag2O composite powders’ size was 2-50nm. Ni-Ag composite powders were prepared with materials Ni(OH)2-Ag2O composite powders by hydrogen reduction in closed circular system. Ni-Ag composite powders’ size was 2-40 nm.