This paper investigates intercultural communication and its significance to higher education. The paper briefly discusses culture, subculture and the meeting of cultures. It also provides a brief survey of developments in intercultural communication research. With reference to New Zealand, the paper further points to some limitations of intercultural communication theories, but meanwhile acknowledges the significance of these theories to higher education. The author argues that adopting interculturalism based on the principles of equality and respect at the national and institutional levels is more crucial than merely mastering some intercultural competencies or applying some intercultural communication models outlined in intercultural communication theories. (Contains 1 table and 1 note.)