Technological advancements are forcing the definition of literacy to expand in this new century. Students are coming to the classroom digitally fluent. Yet, our educational system has not risen to the challenges of modifying curriculum and instruction to suit the needs of this generation of learners. Literacy needs to be redefined. In order to conceptualize the broad definition of contemporary literacy, first the differences between traditional literacy and the new literacy are analyzed while evaluating the diverse skills and competencies associated with both. Next, implications of this new literacy are addressed including the effects on teachers in the classroom. Finally, the issue of who will be responsible for teaching the new literacy is examined.