NDR (nuclear Dbf2-related) kinase belongs to a family of kinases that is highly conserved throughout the eukaryotic world. We showed previously that NDR is regulated by phosphorylation and by the Ca 2؉ -binding protein, S100B. The budding yeast relatives of Homo sapiens NDR, Cbk1, and Dbf2, were shown to interact with Mob2 (Mps one binder 2) and Mob1, respectively. This interaction is required for the activity and biological function of these kinases. In this study, we show that hMOB1, the closest relative of yeast Mob1 and Mob2, stimulates NDR kinase activity and interacts with NDR both in vivo and in vitro. The point mutations of highly conserved residues within the N-terminal domain of NDR reduced NDR kinase activity as well as human MOB1 binding. A novel feature of NDR kinases is an insert within the catalytic domain between subdomains VII and VIII. The amino acid sequence within this insert shows a high basic amino acid content in all of the kinases of the NDR family known to interact with MOB proteins. We show that this sequence is autoinhibitory, and our data indicate that the binding of human MOB1 to the N-terminal domain of NDR induces the release of this autoinhibition.NDR 1 kinase belongs to a highly conserved family of kinases, a subclass of the AGC family of protein kinases (1, 2). The NDR family consists of the mammalian protein kinases NDR1 and NDR2, Drosophila melanogaster NDR, Caenorhabditis elegans SAX1, mammalian, D. melanogaster and C. elegans large tumor suppressor kinases, Neurospora crassa COT1, Ustilago maydis UKC1, Saccharomyces cerevisiae Cbk1, Dbf2, and Dbf20, Schizosaccharomyces pombe Orb6 and Sid2, and several plant kinases (1, 2). These kinases share a high sequence conservation, and some possess conserved functions, mainly involving regulation of cell morphology and the cell cycle (2-15).The kinase domain sequence of NDR is related to that of other members of the AGC group of kinases, e.g. protein kinases A, B, C, and G, PRK, p70 S6K , p90 RSK , and phosphoinositide-dependent kinase 1 (1). NDR contains all 12 subdomains of the kinase catalytic domain as described by Hanks and Hunter (16). However, the catalytic domains of all of the members of the NDR family are interrupted by an insert of 30 -60 amino acids between subdomains VII and VIII. This inserted sequence is not well conserved but is always rich in the basic amino acids, arginine and lysine. The catalytic domain insert has been shown to act as a non-consensus nuclear localization signal in the case of NDR1. NDR1 localizes predominantly to the nucleus in COS-1 cells, whereas mutant NDR1 with a deletion in the insert is localized to the cytosol (17). An additional special feature of the NDR family of kinases is a highly conserved N-terminal domain. In the case of NDR1, this domain consists of 81 amino acids and encompasses a region predicted to form an amphiphilic ␣-helix that binds to the EF-hand Ca 2ϩ -binding protein, S100B (18). Finally, the Cterminal extension of NDR kinase contains a broadly conserved hydrophobic motif ...