The critical heat flux (CHF) limit is an important consideration in the design of most flow boiling systems. Before the use of microchannels under saturated flow boiling conditions becomes widely accepted in cooling of high-heat-flux devices, such as electronics and laser diodes, it is essential to have a clear understanding of the CHF mechanism. This must be coupled with an extensive database covering a wide range of fluids, channel configurations, and operating conditions. The experiments required to obtain this information pose unique challenges. Among other issues, flow distribution among parallel channels, conjugate effects, and instrumentation need to be considered. An examination of the limited CHF data indicates that CHF in parallel microchannels seems to be the result of either an upstream compressible volume instability or an excursive instability rather than the conventional dryout mechanism. It is expected that the CHF in parallel microchannels would be higher if the flow is stabilized by an orifice at the entrance of each channel. The nature of CHF in microchannels is thus different than anticipated, but recent advances in microelectronic fabrication may make it possible to realize the higher power levels.