Vasculogenesis and angiogenesis are of physiological and pathological importance during the process of development. In this study we address that FGF10 affects both vasculogenesis and angiogenesis in vitro and in vivo. Evidence indicates FGF10 does not alter the proliferation of HUVECs in vitro, but FGF10 stimulates HUVECs cultured on Matrigel to form capillary-like structures. In chick embryo chorioallantoic membrane assay, evidence shows FGF10 induces strong angiogenesis responses in vivo. Together, our studies provide novel insights into the functions of FGF10 during the formation of newborn blood vessels.