no, you don't need to count the caffeine towards carbs...Atkins just wants you to be aware that caffiene can have adverse affects on your weight loss. So if you're having trouble loosing then this would be something to consider. I quit drinking caffeine when I started induction and I'm really glad I did. I was totally addicted to it and it was so freeing to let go of that. I was miserable for about a week and I believe it was mainly due to caffiene withdrawels. Now I have caffeine periodically when I eat out...but I don't crave the sodas anymore like I did before.