Nanotechnology deal with the particle size in nanometers. Nanotechnology is ranging from extensions of conventional device physics to completely new approaches based upon molecular self assembly, from developing new materials with dimensions on the nanoscale to direct control of matter on the atomic scale. In nanotechnology mainly three types of nanodevices are described: carbon nanotubes, quantum dots and dendrimers. It is a recent technique used as small size particles to treat many diseases like cancer, gene therapy and used as diagnostics. Nanotechnology used to formulate targeted, controlled and sustained drug delivery systems. Pharmaceutical nanotechnology embraces applications of nanoscience to pharmacy as nanomaterials and as devices like drug delivery, diagnostic, imaging and biosensor materials. Pharmaceutical nanotechnology has provided more fine tuned diagnosis and focused treatment of disease at a molecular level.