Laser additive direct deposition of metals is a new rapid manufacturing technology, which combines with computer aided design, laser cladding and rapid prototyping. The advanced technology can build fully-dense metal components directly from CAD files with neither mould nor tool. Based on the theory of this technology, a promising rapid manufacturing system called "Laser Metal Deposition Shaping (LMDS)" is being developed significantly. The microstructure and mechanical properties of the LMDS-formed samples are tested and analyzed synthetically. As a result, significant processing flexibility with the LMDS system over conventional processing capabilities is recognized, with potentially lower production cost, higher quality components, and shorter lead time.