This research examined virtual-human interactions as a new form of simulated contact between members of groups in conflict. A virtual human representing an outgroup member (a Palestinian) interacted with 60 Jewish Israeli participants in an experimental study. We manipulated postural mimicry by the virtual interaction partner during a conversation about a sensitive conflict issue. Mimicry increased empathy toward the Palestinians, irrespective of participants' feelings toward the Palestinians prior to the experiment. Further, mimicked participants who reported a priori negative feelings toward Palestinians expressed more sympathy toward their Palestinian virtual interaction partner, rated themselves as closer to him, and perceived the interaction as more harmonious compared to participants in a counter-mimicry condition. The results underscore the impact of mimicry on intergroup interactions, especially on individuals who harbor negative feelings toward the outgroup. The use of virtual-human interactions in obtaining this effect reveals the still widely unexplored potential of technology-enhanced conflict resolution.