Atopic dermatitis is a common chronic inflammatory skin disease often preceding the development of asthma and allergic disorders, such as food allergy or allergic rhinoconjunctivitis. Pathophysiology involves a complex series of interactions between resident and infiltrating cells orchestrated by proinflammatory cytokines and chemokines. A deficiency of antimicrobial peptides might contribute to the propensity for colonization or infection by microbial organisms seen in atopic dermatitis. New treatment approaches include use of topical steroids as maintenance therapy and use of topical calcineurin inhibitors for early intervention with topical steroids used as rescue therapy.