A cost-effective SiC/Si3N4 nano composite was obtained by in-situ synthesis of precursor, using polycarbosilane as precursor. The results showed that the ambitious flexural strength and fracture toughness of this material has improved. The formation of this composite's microstructure and the mechanism of fracture were discussed at the same time. It is important to control the formation of SiC nano crystals and the growth of rod-like β-Si3N4 grain. The formation of the intragranular structure and the rod-like β-Si3N4 grains (aspect ratio more than 7.5 is the reason for the improvement properties.