Diabetes is one of the top 10 leading causes of morbidity and mortality, affecting nearly 350 million people worldwide. β-cell replacement represents an attractive prospect for diabetes therapy but treatment options remain quite limited. There is increasing hope placed on insulin producing cells derived from human pluripotent stem cells, even as the approach faces continued challenges. The most effective protocols thus far have produced cells that express insulin, and have molecular characteristics that closely resemble genuine insulin-secreting cells. However, these cells demonstrate little sensitivity to glucose – an issue that will hopefully be resolved in coming years.