Al2O3/SiC hybrid-composite has been fabricated by the conventional powder process. The addition of $alpha$-Al2O3 as seed particles in the transformation of ${gamma}$-Al2O3 to $alpha$-Al2O3 provided a homogeneity of the microstructure. The grain growth of Al2O3 are significantly surpressed by the addition of nano-size SiC particles. Dislocation were produced due to the difference of thermal expansion coefficient between Al2O3 and SiC and piled up on SiC particles in Al2O3 matrix, resulting in transgranular fracture. The high fracture strength of the composite was contributed to the grain refinement and the transgranular fracture mode. The addition of SiC platelets to Al2O3/SiC nano-composite decreased the fracture strength, but increased the fracture toughness. Coated SiC platelets with nitrides such as BN and Si3N4 enhanced fracture toughness much more than non-coated SiC platelets by enhancing crack deflection.