Because hypoxemic and hyperoxemic episodes in the neonate may go undetected with intermittent arterial blood gas sampling, noninvasive transcutaneous monitoring of oxygen has proven valuable in neonatal intensive care. The monitor continuously records the transcutaneous partial pressure of oxygen (tcP02) and the relative heating power on a strip chart recorder and indicates changes in tcPO2 within seconds. The tcPO2 is affected by changes in oxygen concentration, variations in respiratory patterns, changes in end-expiratory pressure, incorrect bagging or suctioning procedures, crying, pathophysiologic states, and drug or fluid therapy. Transcutaneous oxygen monitoring has led to many improvements in the care delivered in our neonatal intensive care unit.