Dynamic recovery (DRV) and dynamic recrystallization (DRX) play important roles during thermomechanical processes of light metals and alloys because they have obvious influence on microstructure evolution and finally on the mechanical properties of the worked material. Hot compression tests of 7050 aluminum alloy was carried out on Gleeble1500D thermomechanical simulator to modeling multi-pass hot rolling process. Microstructure evolution features of the alloy deformed to a reduction up to 80% were investigated through OM, TEM and EBSD observations. DRX behavior of the alloy during hot compression was emphasized. Some evidence of continuous DRX can be found in the alloy deformed at different temperatures and reductions. The main nucleation mechanisms of DRX are subgrain coalescence and subgrain growth. However, static recrystallization takes place in the material during slow cooling after hot compression.