A murine retrovirus (MRSV) containing the src gene of Rous sarcoma virus has been shown to cause an erythroproliferative disease in mice (S. M. Anderson and E. M. Scolnick, J. Virol. 46:594-605, 1983). We now demonstrate that this same virus can transform erythroid progenitor cells in vitro. Infection of fetal liver cells or spleen and bone marrow cells from phenylhydrazine-treated adult mice gave rise to colonies of erythroid cells which grew in methylcellulose under conditions not favorable for the growth of normal erythroid cells. The presence of pp6OsrC in the transformed erythroid cells was demonstrated by an immune complex protein kinase assay. The time course of appearance and subsequent differentiation of erythroid colonies indicated that the target cell for MRSV was a 6-to 8-day burst-forming unit. Differentiation of the erythroid progenitors was not blocked by the presence of pp60', and the cells retained sensitivity to the hormone erythropoietin. In fact, the transformed cells exhibited increased hormone sensitivity since the number, the size, and the extent of hemoglobinization of the colonies were all increased by the addition of small amounts of erythropoietin. MRSV was not susceptible to restriction by the Fv-2 locus, as MRSV could transform hematopoietic cells from C57BL/6 mice. These results indicate that (i) the erythroid proliferation observed in vivo is caused by a direct effect of MRSV on erythroid progenitors and (ii) the transformed erythroid precursors acquire a growth advantage over uninfected cells without losing the ability to differentiate and respond to physiologic regulators.The generation of a murine retrovirus (MRSV) (2) which contains the src gene of the avian retrovirus Rous sarcoma virus has allowed the investigation of the effect of src upon cell systems which were not previously amenable to research. The inability of most strains of RSV to infect mammalian cells (5, 30) or to replicate efficiently in mammalian cells (3,6,28, 29) has effectively limited the majority of research with RSV to avian cells. MRSV is a defective murine retrovirus lacking a functional env gene resulting from the fact that the src gene was inserted into the middle of the env gene by using recombinant DNA techniques (2). In the presence of an appropriate helper virus, MRSV can infect, transform, and replicate in cells from a variety of species (2). This has allowed recent investigations which document src-induced alterations in long-term bone marrow cultures (4) and transformation of murine lymphoid cells (25).Intravenous administration of MRSV into adult mice is characterized by an erythroproliferative disease accompanied by splenomegaly and mild anemia (2). The spleens of these animals contained erythroid cells typical of all stages of the erythroid lineage from erythroblast to normoblast. Subsequent studies indicated that MRSV caused fibrosarcomas and splenomegaly in newborn mice (25). It was possible that the dramatic effect upon erythropoiesis might be secondary to the effects MRSV had upon other ...