Ni-MoS2 metal matrix composites were produced by electrodeposition in a Watts bath. The correlation of embedded particle ratio and operational parameters was studied. When surfactant BAS was adsorbed on the MoS2 particle surface, the conductivity of the MoS2 was significantly decreased. Thus, more Ni atoms may be deposited homogeneously over a wider area rather than on preferred conductive positions. This results in a smoother codeposition layer with lower porosity. Furthermore, strong adhesion between the codeposition layer and the substrate when using surfactant BAS may result from lower porosity of the codeposition layer.