Most polymer blends are immiscible and need to be compatibilized. The compatibilization must accomplish: (i) optimization of the interfacial tension; (ii) stabilize the morphology against high stresses during forming; and (iii) enhance adhesion between the phases in the solid state. Compatibilization is accomplished either by addition of a compatibilizer or by reactive processing. This review will focus on the three aspects: description of the interphase, compatibilization by addition and reactive compatibilization.