The present invention relates to an improved process for preparation of Atorvastatin calcium in amorphous form. Tine invention also reates to an improved process for the preparation of amorphous atorvastatin calcium comprising: reaction of (βR,ỡR)-2-(4-fuorophenyl)-β-ỡ-dihydroxy-5-(1-methylethyl)-3-phenyl-4-[(phenyI amino) carbonyl-1H-Pyrrole-1-heptanoic acid t-butyl ester {formula II) in an organic water immiscible solvent with aqueous alkali to give an alkali metal salt of atorvastatin which is then converted to Atorvastatin calcium by treating with calcium source.