© 2001, © 2001 SAGE Publications.This paper describes the use of the Internet in an international project supported by the US Department of Education and the European Union's DG XII under the United States–European Union Programme for Cooperation in Higher Education and Vocational Training. The paper focuses specifically on a novel software project course. Students from both sides of the Atlantic work cooperatively to design and implement a piece of software in a semester project. As expected, there are major hurdles to overcome. The authors describe how the course is designed and implemented and documents the experience of offering the course the first time. There are a number of surprises.