An association between oxidative stress and the development of diabetes complications has been recognized for over 20 years. Increased production of reactive oxygen species has been strongly implicated in the pathogenesis of diabetic retinopathy. However, in spite of overwhelming evidence supporting the damaging consequences of oxidative stress and its established role in experimental models of diabetes, the results of large-scale clinical trials with classic antioxidants have failed to show any benefit for diabetic patients. The disappointing results of antioxidant trials in patients underline the importance of identifying the specific sites and sources of oxidative stress in the tissues of diabetic patients. This chapter summarizes the current perspective on how diabetes induces oxidative stress in the retina, how diabetes-induced oxidative stress may lead to the development of diabetic retinopathy and reviews strategies for treatment or prevention of diabetic retinopathy by reducing oxida-tive stress.