Findings of this report indicate that, since an earlier 1994 study, the number of Americans that own computers has increased by over 50% and the number of households using e-mail has quadrupled. Nevertheless, access to the Information Superhighway is still beyond the grasp of many Americans. While the nation-wide telephone penetration rate remains at a relatively high level of 93.8%, some pockets of Americans still have no telephone service. Whites still have a far higher telephone penetration rate (95.9%) than Blacks (86.0%) and Hispanics (86.5%). There are even more disparities in computer ownership and access to online services. Although more Americans now own computers than before, households earning more than $75,000 are approximately seven times as likely to own a computer as those earning between $5,000 and $10,000. White households are still more than twice as likely (40.8%) to own a computer than Black households (19.3%) or Hispanic households (19.4%). These gaps in ownership levels are greater than they were three years ago. Findings underscore the importance of such programs as NTIA's Telecommunications and Information Infrastructure Assistance Program and the E-Rate (a program that will allow schools and libraries to establish Internet connections at discounted rates). Twenty-four charts illustrate statistics. (AEF)