A method of oxide failure analysis and related localization technology in integrated circuit was presented. The different emission structures or resistance change spots in the integrated circuits were found out by using photon emission microscopy or OBIRCH. The circuit fault hypothesis method and the layout analysis method were combined to locate the oxide failures. Then the physical failure analysis method and the sample preparation method were followed to determine the root cause. Case studies showed that the proposed method could be used to locate accurately and quickly the failures of CMOS integrated circuits’ gate oxide, bipolar integrated circuits’ MOS capacitor oxide, and GaAs integrated circuits’ MIM capacitor. As a result, the work load of the subsequent physical analysis processes such as FIB or RIE could be reduced, which had improved the efficiency of failure analysis.