This paper describes interactive video and the advantages and disadvantages to using interactive video in education and training. Examples of classroom use of interactive video are discussed in terms of its benefits as an educational strategy and the drawbacks of teacher preparation. It is noted that there are currently three levels of interactive video use: (1) a monitor and videodisc player with interaction accomplished manually by manipulating the videodisc player; (2) a videodisc player with a built-in microprocessor which executes precoded programs on the disc; and (3) a videodisc player interfaced with a computer and controlled by a program authored by the user. Other advantages of interactive video discussed include use of color, motion, branching, feedback, data storage, information presentation, and slide presentation. Other disadvantages noted include cost, lack of courseware, and teacher attitudes toward their changing role in the classroom. Potential uses of interactive video in classrooms are described. The 58-item annotated bibliography makes up nearly half of the document. (DB)