Previous research has rarely compared the contributions of different underlying abilities to phonological acquisition. In this study, the auditory-visual speech perception, oro-motor and rule abstraction skills of 62 typically developing two-year olds were assessed and contrasted with the accuracy of their spoken phonology. Measures included auditory-visual speech perception, production of isolated and sequenced oro-motor movements, and verbal and non-verbal rule abstraction. Abilities in all three domains contributed to phonological acquisition. However, the use of atypical phonological rules was associated with lower levels of phonological accuracy and a linear regression indicated that this measure of rule abstraction had greater explanatory power than the measures of input processing and output skill.