In this research, the traditional fuzzy ISODATA ( FI) algorithm is integrated with probabilistic relaxation labeling ( PRL) algorithm to form a new clustering algorithm called relaxed fuzzy ISODATA ( RFI). During the clustering process, both the fuzzy membership function values and local contextual information are employed for grouping data into clusters. The RFI algorithm is considered for clustering noisy data. The experimental results shows the effectiveness of this algorithm. 1