An optimum route to fabricate the $Al_2O_3/Cu$ nanocomposites with sound microstructure and improved mechanical properties was investigated. Microstructural investigations for the composites prepared using $Al_2O_3/Cu$-nitrate showed that fine Cu particles with average size of 150 nm were homogeneously distributed within the $Al_2O_3$ matrix grains and at the grain boundaries. Fracture strength of 953 MPa and toughness of 4.8 Mpa(equation omitted)m were measured for the composite. The strengthening and toughening of the composites are explained by the refinement of the microstructure and the crack bridging/deflection, respectively.