This chapter explores the potential of using computer technology to support and augment psychotherapeutic interventions in hospitals, communities and homes. We describe two applications piloted at Children's Hospital Boston. The first pilot explored how patients with pediatric heart disease used the Storytelling Agent Generation Environment (SAGE) computer program to create interactive storytellers and share their personal stories. The second involved youngsters on hemodialysis for end stage renal disease using the Zora graphical multi-user environment to create a virtual city and form a therapeutic virtual community. In this chapter we show how computer technology can be used to help patients explore their identity, cope with their illness and provide mutual support and interaction. We also present design recommendations for future interventions of this kind.