Microstructural evolutions in ceria-stabilized zirconia (Ce-TZP) and alumina-dispersed Ce-TZP ceramics were investigated as functions of doping and annealing conditions. All of sintered specimens showed the relative density over 99 %. Sintered specimens had linear grain boundaries and normal grain shapes, but ceria-doped specimens had irregular grain shapes and nonlinear grain boundaries due to the diffusion-induced grain boundary migration during annealing at $1650^{circ}C$ for 2 h. Mean grain boundary length of Ce-TZP with irregular grain shapes was higher than that of normal grain shapes, and was a value of 23pm at the maximum. Alumina particles dispersed in Ce-TZP inhibited the grain growth of zirconia particles. $Al_2O_3$Ce-TZP doped with ceria and annealed at $1650^{circ}C$ for 2 h showed irregular grain shapes as well as small grain size. Added alumina particles showed the grain growth during sintering or annealing, and they changed the position from grain boundary to inside of the grains during the annealing. The specimens with normal grain shapes showed an intergranular fracture mode, whereas the specimens with irregular grain shapes showed a transgranular fracture mode during the crack propagation.