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This research study aims to focus towards the application or evaluation of Web 2.0 tools in State University Libraries of India. The present study deals with the extent usage of Web 2.0 in State University Libraries of India.This research used content analysis based on quantitative and qualitative data which is collected by website observation and questionnaire method. Out of 348 Indian State University Libraries 69% of libraries are having official website and 31% of libraries are lacking any dedicated library webpage. It is found that 9.77% of the Indian State University Libraries were using Web 2.0 technologies to provide services to their users. It is found that the highest Web 2.0 application index is in state of Kerala. OPAC 2.0, Mashups, RSS, Social Bookmarking & Tagging, Social Networking Services, Vodcast and Blog are the most widely applied technology and YouTube, Google Docs, Instant Messaging, Wikis are the least used technology amongst respondent libraries.