Recent X-ray satellite observations provide plenty of spectral information with high resolution in a broad band. Major results from the spectral observations are related to the interaction of the power-law continuum flux with the ambient plasmas and accretion disks. The most prominent result is the broad iron-line feature from Seyfert I galaxies which is interpreted as the emission from the relativistic accretion disk. Doppler shift and boosting, as well as gravitational redshifts, are considerable at the distance of several Schwarzschild radii from the central black hole. Strong radiation from the central engine ionizes the ambient material of AGN. Edge structure found at around 0.8 keV is attributed to highly ionized oxygen of O VII and O VIII. Some iron emission lines from Seyfert II galaxies are emitted by highly photoionized plasmas. The study of fast temporal and spectral variability is the key approach to examine the emission mechanism and structure of the central vicinity of AGN. In 2000, two X-ray observatories (Chandra and XMM will be in orbit, and they will provide us with deeper insights of the physics around the black holes and of the physics of hot plasmas.