This article reports on a study of literacy practices in a Norwegian preschool where deaf and hearing children are enrolled in the same group and where communication is based on both sign language and spoken language. The aim of the study was to explore pathways to literacy for young deaf children within this setting. Our implicit assumption is that deaf children access literacy in much the same way as hearing children do. In the study we ask what kind of literacy events occur in the preschool and we examine how these events might allow for participation by the young deaf children on equal terms with their hearing peers. The study is conducted within a sociocultural framework. From this perspective, literacy is perceived as a social practice in everyday activities. Within the range of social activities in the preschool, some significant literacy events were analysed with regard to their nature and impact on literacy learning for deaf children. Data are based on video recordings, field notes and interviews with teachers. The results demonstrate that a number of events vital to literacy learning represent great educational challenges in inclusive settings with both hearing and deaf children.