An analysis of the 2002 SIQSS time-diary data offers support for the displacement theory of time utilization. Time spent on the Internet is found to have a negative relationship with a number of daily activities, especially discretionary activities. Most notably, time spent on the Internet appears to come at the expense of time spent on social activities, hobbies, reading and TV viewing. Time spent on the Internet has a small, but less substantive, impact on time spent on work, childcare, housework and sleep. These predictions are robust to multivariate controls and proportional comparisons.