Indium oxide thin films were deposited by atomic layer epitaxy technique at 400 and 500°C using and water as reactants. The films were characterized by means of x‐ray diffraction, Rutherford backscattering spectrometry, nuclear reaction analysis, scanning electron microscopy, and by optical and electrical measurements. The highest deposition rate obtained was only 0.27 Å/cycle. The films were polycrystalline having the [100] direction as the most pronounced orientation. The resistivities of the highly transparent films were in the order of .