An AlGaN/GaN recessed-gate MOSHEMT was fabricated on a sapphire substrate. The device, which has a gate length of 1 μm and a source-drain distance of 4 μm, exhibits a maximum drain current density of 684 mA/mm at Vgs = 4 V with an extrinsic transconductance of 219 mS/mm. This is 24.3% higher than the transconductance of conventional AlGaN/GaN HEMTs. The cut-off frequency and the maximum frequency of oscillation are 9.2 GHz and 14.1 GHz, respectively. Furthermore, the gate leakage current is two orders of magnitude lower than for the conventional Schottky contact device.