Analysts have been concerned for decades about the unforeseen psychological impacts of technology. The rapid developments during the past 15 years have brought issues related to cyberspace front and center in analysis and psychotherapy. A specific question arises: what is happening to our capacity for relating openly? We now regularly see “screen time” being used 1) defensively to retreat and escape, 2) compulsively to gratify urges and impulses, and 3) addictively to quench emotional cravings. Problems with limits and recognition of separation confound the positive aspects of cyberspace. Vulnerable egos may not even realize when escapism turns into addiction. Soul can become lost in these activities, when relationships are instead transactional and technology is regarded as numinous. A case example from the author’s practice and another from the media highlight the great risks for soul in this realm of cyberspace.