Learning objects (LOs), generally understood as digital learning resources shared through the Internet and reused in multiple learning contexts, have aroused worldwide enthusiasm in the field of educational technology during the last years. Although LOs and LO systems offer tremendous possibilities to improve educational practices, there are many theoretical problems and practical shortcomings which are usually neglected. In this article we introduce the promises of cost-effectiveness, reusability, modifiability and adaptability associated with LOs. Then we critically look at the problems underlying the LO approach, and provide our own alternative interpretation of LOs as useful elements of meaningful learning environments. Because of their flexible nature, LOs and LO systems can be used to support a variety of learning theories and instructional strategies--both sophisticated and reductionist ones (Parrish, 2004). LOs "per se" are not necessarily pedagogically functional or non-functional, but their pedagogical value is determined through their context of use. The implementation of LOs requires a sound pedagogical grounding, and we argue that only by using LOs according to the principles of contemporary learning theories can their promises be fulfilled.