During adulthood electroencephalographic (EEG) recordings are used to distinguish wake, non rapid eye movement (NREM) sleep, and rapid eye movement (REM) sleep. However, the close association between behavioral states and EEG rhythms is reached only late during development, after birth in humans and by the end of the second postnatal week in rats and mice. This critical time is also when cortical activity switches from a discontinuous to a continuous pattern, and we will review the major cellular and network changes that can account for this transition. After this close link is established, new evidence suggests that the slow waves of NREM sleep may function as markers to track cortical development. Before the EEG can be used to identify behavioral states, however, two distinct sleep phases – quiet sleep and active sleep – are identified based on behavioral criteria and muscle activity. During this early phase of development cortical activity is far from being disorganized, despite the presence of long periods of neuronal silence and the poor modulation by behavioral states. Specific EEG patterns such as spindle bursts and gamma oscillations have been identified very early on, and are believed to play a significant role in the refinement of brain circuits. Since most early EEG patterns do not map to a specific behavioral state, their contribution to the presumptive role of sleep in brain maturation remains to be established, and should be a major focus for future research.