Web 2.0 covers technological advancements in peer-peer networks and Internet open architecture that facilitate better user interaction, participation and multimedia file sharing. This marks a new Web paradigm where the Internet becomes a huge social networking, collaborative forum. In this paper innovative Web 2.0 examples and enabling technologies are gathered to elaborate the significance of the new paradigm. Based on this analysis characteristics of Web 2.0 applications will be derived showing potential usage and benefits in teaching, learning and research. A case study, Faculty of Computers & Information, Cairo University, Egypt will be investigated in order to highlight limitations and/or prosperities of current IS education and research in a developing country context. It is argued that the digital divide gap represented in scarce technical infrastructure, skill shortage in specific areas like communication skills, business and management knowledge, as well as a bias towards heavy weight computer science areas, such as image processing and intelligent agents are hindering IS advancements in Egypt. Based on these findings the paper suggests how Web 2.0 tools can be integrated within current shortcomings and barriers showing a roadmap for Web 2.0 adoption in learning, teaching and research in a developing country context.