Friend leukemia integration 1 (Fli-1) is a member of the Ets family of transcriptional activators that has been shown to be an important regulator during megakaryocytic differentiation. We undertook a two-hybrid screen of a K562 cDNA library to identify transcription factors that interacted with Fli-1 and were potential regulators of megakaryocyte development. Here we report the physical interaction of Fli-1 with GATA-1, a well-characterized, zinc finger transcription factor critical for both erythroid and megakaryocytic differentiation. We map the minimal domains required for the interaction and show that the zinc fingers of GATA-1 interact with the Ets domain of Fli-1. GATA-1 has previously been shown to interact with the Ets domain of the Fli-1-related protein PU.1, and the two proteins appear to inhibit each other's activity. In contrast, we demonstrate that GATA-1 and Fli-1 synergistically activate the megakaryocyte-specific promoters GPIX and GPIb␣ in transient transfections. Quantitative electrophoretic mobility shift assays using oligonucleotides derived from the GPIX promoter containing Ets and GATA binding motifs reveal that Fli-1 and GATA-1 exhibit cooperative DNA binding in which the binding of GATA-1 to DNA is increased approximately 26-fold in the presence of Fli-1 (from 4.2 to 0.16 nM), providing a mechanism for the observed transcriptional synergy. To test the effect on endogenous genes, we stably overexpressed Fli-1 in K562 cells, a line rich in GATA-1. Overexpression of Fli-1 induced the expression of the endogenous GPIX and GPIb␣ genes as measured by Northern blot and fluorescence-activated cell sorter analysis. This work suggests that Fli-1 and GATA-1 work together to activate the expression of genes associated with the terminal differentiation of megakaryocytes.The successive activation of tissue-specific genes during cellular differentiation is orchestrated by the formation of different transcriptional complexes consisting of cell-specific and ubiquitous transcription factors (24,30). This process is arguably best exemplified in the hematopoietic system, where different transcriptional complexes control the production of distinct cellular lineages from a common hematopoietic stem cell precursor. Among the rarest of the mature hematopoietic cells are megakaryocytes, large polyploid cells that reside in the bone marrow and whose cytoplasmic fragments are extruded into the bloodstream to form platelets.The key transcription factors involved in megakaryocyte differentiation are coming to light (for a review, see Shivdasani [28]). One of these, Friend leukemia integration 1 (Fli-1), is a member of the Ets family of transcription factors. Ets factors encompass a family of over 40 members that are characterized by an 85-amino-acid region of homology termed the Ets domain, which mediates binding to the core Ets recognition element 5Ј-GGA(A/T)-3Ј (36;