This paper presents the results of an exploratory study carried out to learn about the usages and effects of Information and Communication Technologies (ICT) in Small and Medium Sized Enterprises (SMEs) in Oman. The study investigates ICT infrastructure, software used, driver for ICT investment, perceptions about business benefits of ICT and outsourcing trends of SMEs. The study provides an insight on the barriers for the adoption of ICT. Lack of internal capabilities, high cost of ICT and lack of relevant information about ICT solutions and implementation seems to be some of the major barriers in adopting ICT. The results of the study show that SMEs in Oman are gradually investing in and adopting ICT. The main driving forces for ICT investment are to provide better and faster service and to stay ahead of the competition. A majority of surveyed SMEs have reported a positive performance and other benefits by utilizing ICT in their businesses.