This paper describes how the applications of technology to library functions generally follow the three-phase pattern set by business. In phase one, technology is applied to the automation of manual procedures in order to save time and/or money. Phase two involves the use of technology for non-traditional, innovative approaches to traditional functions, while phase three represents the use of computers to provide non-traditional services or processes. Libraries are seen to be moving into phase two and three applications, and it is postulated that developments in teleconferencing, electronic mail, and electronic publishing will have an important impact on the functions of the library in the future. Twenty-two references are listed. (Author/FM)