The phosphoprotein (NS) of vesicular stomatitis virus is an indispensable subunit of the vinrion-associated RNA polymerase (L). NS consists of a highly acidic NH2-terminal domain and a basic COOH-terminal domain. Unlike the latter, the amino acid sequences of the NH2-terminal regions are highly dissimilar among different viral serotypes, although they share structural similarities. We have cloned an NS gene into the SP6 transcription vector and replaced the 5'-terminal 80% by a full-length gene for fi-tubulin, which contains an acidic COOH-terminal domain. Here we present evidence that the chimeric tubulin-NS protein is biologically active and that the acidic region in tubulin directly affects the transcription reaction. These observations indicate that NS probably functions as an activator protein in which the acidic domain stimulates transcription of the viral genes by interacting with the RNA polymerase as observed for eukaryotic cellular transcription activators.An RNA-dependent RNA polymerase packaged within the purified virion of vesicular stomatitis virus (VSV) transcribes the negative-strand genome RNA in vitro into five distinct mRNAs and a leader RNA (1, 2). This transcription is essential for initiation of infection when VSV infects cells. The RNA polymerase consists of two distinct polypeptide subunits: a large polypeptide, L, of 240 kDa and a small phosphoprotein, NS, of 29 kDa tightly associated with each other and also with the N protein-RNA template (N-RNA template). There are approximately 50 molecules of the L protein and 500 molecules of the NS protein per virion (3). The unique feature of the VSV transcription complex is that each of the reacting components can be separated free from the others and in vitro RNA synthesis can be restored effectively when L and NS proteins are added to the N-RNA template (4). By using the above transcription reconstitution system, it was shown (5) that the L protein, which acts catalytically in the initiation of RNA chains, fails to synthesize full-length RNA unless the NS protein, which acts stoichiometrically, is added to the transcription mixture. These results indicated that the L protein is the RNA polymerase whereas the NS protein is a regulatory protein that plays a role in the transcription process, possibly by interacting with the N-RNA template to facilitate access of L protein to the genome template for RNA synthesis (5,6). Phosphorylation ofthe NS protein seems to have important regulatory effect(s) in this process (1).To study the precise function of the NS protein in the transcription process, we (7) inserted a full-length NS gene (New Jersey serotype) into an SP6 transcription vector. This system enabled us to obtain NS mRNA in amounts that, when subsequently translated in vitro, resulted in the synthesis of biologically active protein. The latter activity was demonstrated by transcription reconstitution with purified L protein and the N-RNA template. Systematic deletion mapping studies (7) showed (i) that the COOH-terminal basic 27 amino...