© 2014 by IGI Global. All rights reserved. This chapter explores the changes that have taken place in the role and functioning of the Internet in terrorism and counter-terrorism in the past decade. It traces the shift in focus from a preoccupation with the threat of so-called "cyberterrorism" in the period pre-and immediately post-9/11 to the contemporary emphasis on the role of the Internet in processes of violent radicalization. The cyberterrorism threat is explained as over-hyped herein, and the contemporary focus, by researchers and policymakers, on the potential of the Internet as a vehicle for violent radicalization viewed as more appropriate albeit not without its difficulties. This change in emphasis is at least partially predicated, it is argued, on the significant changes that occurred in the nature and functioning of the Internet in the last decade: the advent of Web 2.0, with its emphasis on social networking, user generated content, and digital video is treated as particularly salient in this regard. Description and analysis of both "negative" and "positive" Internet-based Counter Violent Extremism (CVE) and online counterterrorism measures and their evolutions are also supplied.