In the adult central nervous system, two distinct populations of glial cells expressing the chondroitin sulfate proteoglycan NG2 have been described: bipolar progenitor cells and more differentiated ''synantocytes.'' These cells have diverse neurological functions, including critical roles in synaptic transmission, repair, and regeneration. Despite their potential importance, the genetic factors that regulate NG2 cell development are poorly understood, and the relationship of synantocytes to the oligodendroglial lineage, in particular, remains controversial. Here, we show that >90% of embryonic and adult NG2 cells express Olig2, a basic helix-loop-helix transcription factor required for oligodendrocyte lineage specification. Analysis of mice lacking Olig function demonstrates a failure of NG2 cell development at embryonic and perinatal stages that can be rescued by addition of a transgene containing the human OLIG2 locus. These findings show a general requirement for Olig function in NG2 cell development and highlight further roles for Olig transcription factors in neural progenitor cells.Cspg4 ͉ oligodendrocyte ͉ synantocyte ͉ glia ͉ regeneration N G2 cells are central nervous system (CNS) glial cells defined by their expression of the chondroitin sulfate proteoglycan, NG2, which is also known as Cspg4 or AN2 (1-4). A significant proportion of NG2 cells actively proliferate and indeed have been characterized as the most prevalent cycling progenitor cell population in the adult CNS (5, 6). NG2 cells have diverse functions and participate in oligodendrogenesis (7) and neurogenesis (8), as well as the physiologic support of neurons and synaptic signaling (4, 9). They have also been proposed to play critical roles in brain repair and regeneration and are the primary responding neural cell type to CNS injury (10, 11).Despite their abundance as a progenitor population and potential importance in maintenance and repair of neurological function, the developmental ontogeny of NG2 cells remains controversial (4,7,12). Cytologically, they are reportedly a heterogeneous population, and two distinctive cellular morphologies have been described: bipolar progenitor cells that resemble oligodendrocyte progenitors (OLP) (1, 13) and stellate ''synantocytes.'' Most postnatal NG2 cells are synantocytes, which are defined by a complex ''differentiated'' morphologic appearance. Even so, they lack expression of most differentiated glial celltype specific markers (12). Indeed, based on these observations, several studies have suggested that the majority of postnatal NG2ϩ synantocytes comprise an independent neuroepithelial lineage distinct from neurons, astrocytes, and oligodendrocytes (4, 12, 14), a proposal that has provoked ongoing debate (15, 16).The genetic pathways, which regulate NG2 cell development, have yet to be defined, and the question of whether bipolar NG2 cells and synantocytes have fundamentally similar or different origins is unresolved. Given their early developmental expression of OLP markers, NG2 cell formation mi...