. 2). An alternative model postulates that the holoenzyme enters the preinitiation complex as a preassembled unit (2, 3). Although the nature of the assembly pathway most relevant to the in vivo context remains unclear, access of TFIID to the core promoter is likely to be a critical step in any pathway, given that only TFIID binds to the promoter in a sequence-specific manner. In support of this view, in vitro recruitment experiments using immobilized promoters demonstrated that the holoenzyme is not recruited independently of TFIID and TFIIA (4).TFIID is a multimeric protein complex consisting of the TATA box-binding protein (TBP) and Ͼ10 distinct TBPassociated factors (TAFs), which are conserved from yeast to man (reviewed in ref. . Consistent with these observations in vivo, TAF-independent activation was demonstrated in transcriptional experiments in vitro, using TFIID-depleted HeLa nuclear extracts, which could possess activator targets other than TAFs (8), or even with a highly purified cell-free transcription system (9, 10). Furthermore, transcription activation is reconstituted by supplementing purified yeast holoenzyme with only TBP (11, 12). These observations suggest that activators contribute to activated transcription by interacting with multiple targets (e.g., basal factors, TAFs, SRB mediators, or other unknown cofactors).Although TAFs are well recognized as positive cofactors, in our view, at least certain TAFs are negative cofactors. Importantly, highly purified TFIID manifests lower transcriptional activity than TBP alone (13) and binds to the core promoter poorly (reviewed in ref. 14). This inhibitory activity for promoter binding in TFIID is suppressed by limited proteolysis of TFIID or by TFIIA (14,15). These results strongly suggest that this inhibitory activity could be intrinsic to TFIID and derived from TAF(s) and is sensitive to proteases. Consistent with this idea, Drosophila (d)TAF230, or the homologous yTAF145, inhibits TBP binding to the TATA box when these TAFs are mixed with TBP in vitro (16)(17)(18). Mutational analyses of dTAF230 indicate that the N-terminal 156 residues inhibit TATA box binding through direct interaction with TBP (19,20). This N-terminal domain (designated as TAND; TAF N-terminal domain), has been dissected into subdomain 1 (dTAND-1; residues 11-77) and subdomain 2 (dTAND-2; residues 82-156), which bind to the concave undersurface and the convex upper surface of TBP in This paper was submitted directly (Track II) to the PNAS office.