Graphene oxide (GO) nanoparticles of two different sizes are dispersed in the nematic liquid crystal (LC) 5CB covering a wide concentration range. The dielectric properties, as well as the electrooptic behavior, including threshold voltage, elastic constant, and response times are investigated as a function of GO concentration. It is found that small graphene oxide flakes of mean size of 560 nm are better and easier dispersible than larger flakes of 2.8 μm mean size. The nematic–isotropic transition only increases slightly for the (GO+LC) hybrid systems. For increasing GO concentrations the threshold voltage and splay elastic constant dramatically increase, until saturation for a concentration of ≈1% by weight GO. The field driven switching‐on time is practically independent of concentration, while the switching‐off time, which is purely elastically driven, exhibits a strongly decreasing behavior. Dielectric spectroscopy reveals a noncollective relaxation which is absent in the neat liquid crystal. This may be attributed to a drastically slowed down molecular relaxation related to the rotation around the short axis of the liquid crystal molecules. When heating the thermotropic liquid crystal into its isotropic phase, the latter acts as a solvent for the GO particles, and a lyotropic nematic phase with largely reduced birefringence is formed.