The transforming gene product of the S13 avian erythroblastosis virus, the env-sea protein, is a member of the hepatocyte growth factor receptor family of tyrosine kinases comprising Met, Ron, and Sea. Like all three members of this family, the env-sea protein has a socalled bidentate motif (Y 557 INMAVTY 564 VNL) composed of two tandemly arranged tyrosines in the carboxyl terminus. To investigate whether the tyrosine residues in this motif are essential for the env-sea-mediated transformation, we generated tyrosine to phenylalanine mutations. Substitutions of both tyrosine residues resulted in complete loss of the transforming activity. In contrast, single mutations at either tyrosine did not inhibit transformation of Rat1 cells, and mutation of tyrosine 564 actually increased transformation of Rat 1 cells. To define signaling pathways activated by the env-sea protein, we looked for protein-protein interactions mediated by these tyrosine residues. We show that the bidentate motif is responsible for interaction with the adapter protein Grb2, phosphatidylinositol 3-kinase, and the tyrosine phosphatase SHP-2. Furthermore, we show that microinjected Src homology 2 domains from either Grb2 or SHP-2 blocked the transforming activity of the envsea protein. Together, these results suggest that the tyrosines within the bidentate motif are essential for the env-sea transformation.A large number of oncogenes encode altered forms of growth factor receptor-tyrosine kinases (1, 2). Oncogenes derived from cellular receptor-tyrosine kinases (RTKs) 1 are constitutively activated by structural changes, such as point mutation, truncation, and rearrangement (3-6). The activation of RTKs triggers autophosphorylation of tyrosine residues, which then serve as specific binding sites for cellular signaling proteins containing Src-homology 2 (SH2) or phosphotyrosine binding domains (7-9). Individual SH2 domains recognize specific phosphotyrosine residues flanked by distinct sequences (10). Signal transduction by RTKs involves activation of multiple pathways following association with different cellular target proteins.The env-sea oncogene is derived from a cellular proteintyrosine kinase, c-sea, the extracellular and transmembrane domains of which have been replaced by viral envelope sequences (11). Due to the fusion with viral envelope domain, the env-sea protein has a structure similar to RTKs (12). Previous studies showed that the env-sea tyrosine kinase activity is necessary for transformation by the env-sea protein (13) and that cell surface localization, oligomerization by viral envelope domains, and autophosphorylation are all necessary for the transforming activity of the env-sea protein (14 -16). Using a temperature-sensitive mutant, previous work demonstrated that the phosphorylation of the Shc proteins correlated with the activation of the tyrosine kinase activity of the env-sea protein (17). However, Shc did not form a stable complex with the env-sea protein. In contrast, the Grb2 protein did associate with the env-sea pro...