Proneural basic helix-loop-helix (bHLH) proteins initiate neurogenesis in both vertebrates and invertebrates. The Drosophila Achaete (Ac) and Scute (Sc) proteins are among the first identified members of the large bHLH proneural protein family. phyllopod (phyl), encoding an ubiquitin ligase adaptor, is required for ac-and sc-dependent external sensory (ES) organ development. Expression of phyl is directly activated by Ac and Sc. Forced expression of phyl rescues ES organ formation in ac and sc double mutants. phyl and senseless, encoding a Zn-finger transcriptional factor, depend on each other in ES organ development. Our results provide the first example that bHLH proneural proteins promote neurogenesis through regulation of protein degradation.E3 ligase ͉ senseless ͉ basic helix-loop-helix ͉ neurogenesis T he basic helix-loop-helix (bHLH) proneural proteins promote neurogenesis from flies to mammals (for reviews, see refs. 1 and 2). In Drosophila, the proneural proteins Achaete (Ac), Scute (Sc), Atonal (Ato), and Amos are bHLH transcriptional factors that are essential for the generation of neural precursors in the central and peripheral nervous systems (3-5). In mammals, the bHLH proteins Mash1, homolog of Ac and Sc, and Neurogenins, homologs of Ato and Amos, are essential for the initiation of neurogenesis (6, 7). Proneural genes are expressed in small clusters of cells, called proneural clusters, and they endow cells the potential to adopt neural fate, such as sensory organ precursors (SOPs) in the Drosophila peripheral nervous system. However, lateral inhibition mediated by the ligand Delta and the receptor Notch restricts the expression of proneural genes to only one or a few cells that differentiate into neural precursors, and prevents neighboring cells of the selected neural precursors from adapting the same fate (8).The Drosophila proneural genes ac and sc function redundantly in the formation of external sensory (ES) organs; in ac and sc double mutants, formation of ES organs is disrupted, and misexpression of either ac or sc induces ectopic ES organs (9-12). The Ac and Sc proteins share 70% identity in their bHLH domains (3), and form heterodimers with the ubiquitously expressed bHLH protein Daughterless (Da) to activate transcription of downstream target genes (13,14). One target gene of Ac and Sc, asense (ase), also encodes a bHLH protein that is specifically expressed in SOPs and involved in SOP differentiation (15-17). Likewise, NeuroD, the mammalian homolog of Ase, also plays an important role in neuronal differentiation (18). In addition to the bHLH genes, a number of Ac and Sc target genes have been identified. For example, senseless (sens) is expressed in SOPs and is required to maintain high levels of proneural proteins in SOPs (19,20). Genes involved in lateral inhibition to select SOPs are also targets for Ac and Sc, including scabrous (sca), Delta (Dl), and those in the Enhancer of split [E(spl)] and Bearded (Brd) complexes (21,22). However, target genes essential for SOP differentiation ...