A novel polysiloxane polyurethane is described which is obtained by reaction of an isocyanate capped polysiloxane prepolymer with a polysiloxane-disilanol and which contains O-silyl-urethane linkages. The novel polysiloxane-polyurethanes are useful as oxygen permeable membranes or films, as bandages and drug carriers, for example in transdermal drug delivery, and especially as highly oxygen permeable, soft contact lenses.