By addressing the early phase of first episode psychosis, we focus on the "critical period" in the development of schizophrenia. Treatment success during this vulnerable period of development of schizophrenia sets the course for the future long-term development of the illness (partial remission, role functioning). This indicates the need not only for an optimization of the cost-benefit-ratio of antipsychotic treatment with more recent atypicals and newer formulations, but also the need to supplement disorder-specific, problem-specific and phase-specific cognitive-behavioral interventions within a more individualized approach which focuses on developmental tasks and the more evaluative dimension of self-concept. Preventing neurotoxic relapse as well as partial remission in schizophrenia and enhancing role functioning in education and work (i. e. social integration) are the most important goals of early interventions in this early phase of the course of schizophrenia.