The growth mechanisms of microcrystalline silicon thin films at low temperatures (100-250°C) by plasma CVD are still a matter of debate. We have shown that ue-Si:H formation proceeds through four phases (incubation, nucleation, growth and steady state) and that hydrogen plays a key role in this process, particularly during the incubation phase in which hydrogen modifies the amorphous silicon network and forms a highly porous phase where nucleation takes place. In this study we combine in-situ ellipsometry and dark conductivity measurements with ex-situ high resolution transmission electron microscopy to improve our understanding of microcrystalline silicon formation.