Reef systems form a discontinuous spatial mosaic leading many reef organisms to have a dispersal phase in their early life history. At the end of this phase, the larvae must settle onto a reef. Recent evidence supports the view that both larval fish and invertebrates are more active participants in finding suitable settlement habitat than had previously been thought. Not only are they more active swimmers, but field evidence shows that they orient toward reefs from some distance away. Of the possible distance clues, sound is potentially one of the most attractive. Both abiotic and biotic sounds provide habitat-specific information that propagates well underwater and can convey directional clues. Using a combination of reef sound replay, light traps, and choice chambers, it has been shown that larval fish and invertebrates can be attracted to reef sound. Hearing in most fish is based on the otoliths of the inner ear that detect displacement in the sound field. Current theory holds that otolithic hearing is capable of detecting the axis of sound propagation, but not the direction to the source. These experiments provide evidence that fish larvae (even those without a swimbladder) can resolve this 180 degree ambiguity.