This report will analyze the use of sexed semen in the dairy industry today and its outlook for the future. The Beltsville sperm sexing technology will also be discussed. This technology is the only effective means of altering the sex ratio of semen for use in livestock. Some potential benefits of using sexed semen include: an improved source of replacements, the potential to cull more efficiently, genetic advancement, fewer dystocias, and embryo transfer. Currently there are some major limitations for the commercial use of sexed semen: sorting speed and therefore semen availability and price, decreased conception rates, and lack of sorting technology where collection sires are currently housed. The potential strategies for the use of sexed semen under these limitations will be examined.