Genetic analysis of cell-cell signaling in Saccharomyces cerevisiae has led to the identification of a novel factor, known as Sst2p, that promotes recovery after pheromone-induced growth arrest (R. K. Chan and C. A. Otte, Mol. Cell. Biol. 2:11-20, 1982). Loss-of-function mutations lead to increased pheromone sensitivity, but this phenotype is partially suppressed by overexpression of the G protein ␣ subunit gene (GPA1). Suppression is allele specific, however, suggesting that there is direct interaction between the two gene products. To test this model directly, we isolated and characterized several dominant gain-of-function mutants of SST2. These mutations block the normal pheromone response, including a loss of pheromone-stimulated gene transcription, cell cycle growth arrest, and G protein myristoylation. Although the SST2 mutations confer a pheromoneresistant phenotype, they do not prevent downstream activation by overexpression of G (STE4), a constitutively active G mutation (STE4 Hpl ), or a disruption of GPA1. None of the SST2 alleles affects the expression or stability of G␣. These results point to the G protein ␣ subunit as being the direct target of Sst2p action and underscore the importance of this novel desensitization factor in G-protein-mediated signaling.The yeast Saccharomyces cerevisiae is a unicellular eukaryote that can grow vegetatively either as a diploid or as one of two haploid cell types, known as the mating types a and ␣. Haploid cells secrete specific peptide pheromones (a and ␣ mating factors) that act on cells of the opposite type to promote cell fusion, leading to the formation of an a/␣ diploid (28, 46).Pheromone signaling is mediated through receptors of the seven-transmembrane-segment class (other examples include the -adrenergic receptor and rhodopsin) and is coupled to downstream events via a guanine nucleotide-binding regulatory protein (G protein) (28). Agonist binding to these receptors promotes exchange of GDP for GTP on the G-protein ␣ subunit and dissociation of G␣ from the G protein  and ␥ subunits (4, 6, 11). In yeast cells, it is the /␥ moiety that activates downstream signaling events leading to mating, which include alterations in gene transcription, morphological and cytoskeletal changes, and growth arrest in the G 1 phase of the cell cycle. Indeed, overexpression of the  subunit or loss of the ␣ subunit leads to mating even in the absence of pheromone or receptor (13,17,25,36,39,53).A property of signal-response systems in general, and of G-protein-coupled receptors in particular, is that prolonged stimulation often results in a loss of responsiveness over time (desensitization) (23). The molecular basis for this phenomenon has been extensively characterized for vertebrate G-protein-coupled receptors (2, 32) and has also been described for S. cerevisiae (3, 8-10, 12, 16, 19, 27, 33, 37, 40, 41, 47). Despite the profound physiological and morphological changes that yeast cells undergo in preparation for mating, cells that fail to mate become desensitized to the...