Continuous transcutaneous oxygen (PtcO2) monitoring is a noninvasive technique for recording changes in central oxygenation. PtcO2 monitoring has been for some years a routine method in neonatal and adult intensive care. The technique is a potential tool in fetal surveillance during labor. Some recently published studies which have been critical of the use of PtcO2 monitoring in the delivery room reveal a lack of thorough understanding of the limitations of the technique. From the author's experience with the technique, it is obvious that, when the PtcO2 electrode is attached according to recommendations and when the monitoring situation fulfills certain criteria, PtcO2 reliably reflects changes in the fetal oxygenation during labor and may be used for the diagnosis of true hypoxemia. PtcO2 monitoring does not replace any other available routine monitoring for fetal surveillance, but when the technique is refined, it may become an additional means of diagnosing fetal jeopardy. As a research parameter, PtcO2 monitoring has already contributed to a more diversified understanding of the process of fetal asphyxia.