An increasing amount of research attention is being directed toward the educational experiences of students with profound and multiple disabilities. One technique that has allowed a better understanding of alertness and involvement in members of this population is behavior state assessment. In this study, eight matched pairs of school-aged students with profound and multiple disabilities were observed for one full day in either a segregated classroom or an inclusive classroom in Australian schools. Behavior states were systematically observed and recorded, along with several contextual indicators including measures of communicative behaviors, activity, and social grouping. Despite the absence of significant differences in most observed student behavior states between the two settings, the students observed in general classrooms in this investigation were involved in significantly higher levels of communicative interaction than their matched peers in special classrooms. Differences in the frequency of the communicative partners in the two settings were also observed. The implications of these findings are discussed in terms of enrollment practices, staff development issues, and the development of inclusive curriculum and instruction. (Contains 9 tables.)