This chapter investigates some of the critical issues associated with virtual schools. It reviews historical forms of school education and the different types of virtual schools that are currently emerging. The educational value of virtual schooling is considered in terms of cognitive and affective outcomes, and some of the factors that promote the rise of virtual schools are outlined. The implications of related philosophical viewpoints and communication theory are explored, together with the benefits and disadvantages of virtual schools for society. A number of problems associated with virtual schools are identified and some possible solutions are outlined. Future trends in the growth of virtual schooling and the characteristics of the next generation of virtual schools are discussed in terms of their implications for school education.