Abstract: Pulsed high energy density plasma (PHEDP) is a new technology for material surface modification which combines high electron temperature, high energy density, and high velocity. It is characterized by a low deposition temperature, high deposition efficiency, and high-energy usage during film fabrication; and is accompanied by surface sputtering, ion implantation, shock waves, and intensive quenching. The PHEDP technology can be used to prepare various nanocrystalline and amorphous hard films, with improved surface hardness and wear and corrosion resistance of the substrate. Non-metallic materials can also be metallized by this technology. The PHEDP deposited films have good adhesion between the film and substrate, which can be attributed to the wide mixed transition zone between them. In this paper we describe some of our research results in this field. The fundamental principle, characteristics and application of PHEDP are briefly reviewed, and the basic physics of the interaction between the pulsed plasma and materials is analyzed.