Osteoclasts, the bone resorbing cells, play a key role both in normal bone remodeling and in the skeletal osteopenia of arthritis, osteoporosis, periodontal disease and certain malignancies. Osteoclast cellular commitment, differentiation and function depend upon the establishment of specific patterns of gene expression achieved through networks of transcription factors activated by osteoclastogenic cytokines. This review is an updated look at the various transcription factors and cytokines that have been demonstrated to play critical roles in osteoclast differentiation and function, along with their known animal models, such as: PU.1, Mcsf, RANKL, NF-kappaB, AP-1, NFATc1, Mitf, Myc, and Src. Further studies on these transcription factors and cytokines will not only expand our basic understanding of the molecular mechanisms of osteoclast differentiation, but will also aid our ability to develop therapeutic means of intervention in osteoclast-related diseases.