We have developed peptide mimetics of gamma interferon (IFN-␥) that play a direct role in the activation and nuclear translocation of STAT1␣ transcription factor. These mimetics do not act through recognition by the extracellular domain of IFN-␥ receptor but rather bind to the cytoplasmic domain of the receptor chain 1, IFNGR-1, and thereby initiate the cellular signaling. Thus, we hypothesized that these mimetics would bypass the poxvirus virulence factor B8R protein that binds to intact IFN-␥ and prevents its interaction with the receptor. Human and murine IFN-␥ mimetic peptides were introduced into an adenoviral vector for intracellular expression. There are several studies using mostly nucleoside analogs to test their efficacy against acute exposure to smallpox and other poxviruses (5,6,17). The most promising of these analogs appears to be cidofovir (5). However, undesirable toxic effects, particularly those involving kidneys, have been observed in animal studies (17). Perhaps this is because these drugs do not appear to be virus specific. Thus, there is a timely need for other approaches to the development of poxvirus therapeutic agents. Vaccinia virus, which is used worldwide to vaccinate against smallpox infections, is a prototype of the poxvirus family. These viruses are particularly effective in neutralizing host innate antiviral defense mechanisms, such as the interferon (IFN) system. A major reason for this is the production by these viruses of soluble secreted proteins that bind to and prevent alpha/beta IFN (IFN-␣/) and IFN-␥ from binding to their respective receptors on the cell membrane (16). An important virulence factor of poxviruses is the B8R protein, which is a homolog of the extracellular domain of the IFN-␥ receptor and can therefore bind to intact IFN-␥ and prevent its interaction with the receptor (24).We have discovered, characterized, and synthesized small peptide agonists/mimetics of IFN-␥. These peptides, consisting of IFN-␥ C terminus and C terminus analogs, HuIFN-␥(95-134) (from amino acid 95 to 134) for humans and MuIFN-␥(95-133) (from amino acid 95 to 133) for mice, possess potent antiviral activity against vesicular stomatitis virus (VSV) (25)(26)(27)(28). VSV is commonly used in the detection and quantitation of IFN activity. The structural motif required for the recognition of the extracellular domain of the IFN-␥ receptor chain IFNGR-1 and that involved in intracellular signaling are contained in two separate domains on the N terminus and C terminus, respectively, of the IFN-␥ molecule (28, 31). The peptide mimetics act intracellularly to activate the Jak/STAT signaling apparatus and, thus, do not recognize the IFN-␥ receptor extracellular domain (28). Therefore, smallpox and vaccinia virus virulence factor B8R should not interact with the IFN-␥ mimetics and, thus, should not block mimetic antiviral activity. The mimetics were delivered into the cell via penetration by attachment of a lipophilic residue to chemically synthesized peptides, as described earlier for the deliver...