The invention relates to a semiconductor structure and method of manufacturing and more particularly to a CMOS device with at least one embedded SiGe layer in the source/drain region of the PFET, and at least one embedded SiGe layer in the channel region of the NFET. In one embodiment, the structure of the invention enhances the electron mobility in the NFET device, and further enhances the hole mobility in the PFET device. Additionally, by using the fabrication methods and hence achieving the final structure of the invention, it is also possible to construct a PFET and NFET each with embedded SiGe layers on the same substrate.