Information Communication Technology (ICT) is reshaping form and mode of delivery of higher education world wide. Some of the main challenges in education are access issues, and costs. In order to overcome those challenges ICT can play an important role. The application of ICT in the education sector can be referred to as e-learning, and comprises the use of various web-based technological tools with the purpose of disseminating education. The purpose of this study is to investigate what determines university students' acceptance of e-learning by applying the technology acceptance model (TAM). The study was conducted at a Swedish University among business students. The results demonstrate that Perceived usefulness is the main determinant of a student's acceptance of e-learning