This study concerns the determination of a regional geoid model in the North Atlantic area surrounding the Azores islands by combining multi-mission altimetry from the ERS (European Remote Sensing) satellites and surface gravity data. A high resolution mean sea surface, named AZOMSS99, has been derived using altimeter data from ERS-1 and ERS-2 35-day cycles, spanning a period of about four years, and from ERS-1 geodetic mission. Special attention has been paid to data processing of points around the islands due to land contamination on some of the geophysical corrections. A gravimetric geoid has been computed from all available surface gravity, including land and sea observations acquired during an observation campaign that took place in the Azores in October 1997 in the scope of a European and a Portuguese project. Free air gravity anomalies were derived by altimetric inversion of the mean sea surface heights. These were used to fill the large gaps in the surface gravity and combined solutions were computed using both types of data. The gravimetric and combined solutions have been compared with the mean sea surface and GPS (Global Positioning System)-levelling derived geoid undulations in five islands. It is shown that the inclusion of altimeter data improves geoid accuracy by about one order of magnitude. Combined geoid solutions have been obtained with an accuracy of better than one decimetre.