We examined the notion that sequestration of G protein subunits by binding to caveolin impedes G protein reassociation and leads to transient, G protein-specific desensitization of response in dispersed smooth muscle cells. Cholecystokinin octapeptide (CCK-8) and substance P (SP) were used to activate G q/11 , cyclopentyl adenosine (CPA) was used to activate G i3 , and acetylcholine (ACh) was used to activate both G q/11 and G i3 via m3 and m2 receptors, respectively. CCK-8 and SP increased only G␣ q/11 , and CPA increased only G␣ i3 in caveolin immunoprecipitates; caveolin and other G proteins were not increased. ACh increased both G␣ q/11 and G␣ i3 in a time-and concentration-dependent fashion: only G␣ q/11 was increased in the presence of an m2 antagonist, and only G␣ i3 was increased in the presence of an m3 antagonist. To determine whether transient G protein binding to caveolin affected subsequent responses mediated by the same G protein, PLC- activity was measured in cells stimulated sequentially with two different agonists that activate either the same or a different G protein. After treatment of the cells with ACh and an m2 antagonist, the phospholipase C- (PLC-) response to CCK-8 and SP, but not CPA, was decreased; conversely, after treatment of the cells with ACh and an m3 antagonist, the PLC- response to CPA, but not CCK-8 or SP, was decreased. Similarly, after treatment with CCK-8 or SP, the PLC- response mediated by G q/11 only was decreased, whereas after treatment with CPA, the PLC- response mediated by G i3 only was decreased. A caveolin-binding G␣ q/11 fragment blocked the binding of activated G␣ q/11 but not G␣ i3 to caveolin-3 and prevented desensitization of the PLC- response mediated only by other G q/11 -coupled receptors. A caveolin-binding G␣ i3 fragment had the reverse effect. Thus, transient binding of receptor-activated G protein subunits to caveolin impedes reassociation of the heterotrimeric species and leads to desensitization of response mediated by other receptors coupled to the same G protein.