A hallmark of embryonic stem (ES) cells is their ability to generate all somatic cell types that make up an animal (
Bradley et al., 1984). This differentiation potential of ES cells, or pluripotency, is thought to hold great promise for the future of regenerative medicine (
Daley and Scadden, 2008). However, to fully develop the emerging field of stem cell-based therapies, a deeper understanding of the molecular basis underlying ES cell pluripotency and the mechanisms controlling cellular differentiation is required. The regulatory pathways that govern ES cell self-renewal and pluripotency include a subset of sequence specific DNA binding transcription factors (Oct4, Nanog, Sox2, Klf4, etc) (
Jaenisch and Young, 2008) consistent with the importance of enhancer- and promoter- binding transcription factors in regulating lineage specification during early embryogenesis (
Arnold and Robertson, 2009;
Tam and Loebel, 2007).
In eukaryotic cells, a key feature of transcriptional regulation is the complex and still poorly understood interplay between gene specific transcription factors and components of the multi-subunit core promoter recognition machinery (
Naar et al., 2001). Until recently, it was believed that proper gene and cell-type specific transcriptional read-outs were exclusively controlled by combinatorial arrays of classic sequence-specific enhancer binding activators and repressors (
Farnham, 2009;
Tjian and Maniatis, 1994). By contrast, the so called general or ubiquitous transcription machinery responsible for core promoter recognition was thought to serve mainly as a passive integrator or processor of upstream regulatory signals. However, an increasing number of cell type- and tissue-specific components of the core promoter recognition apparatus have been identified in metazoan organisms and shown to play a role in directing and regulating programs of transcription during the development of specific cell types (
Goodrich and Tjian, 2010).
In this report, we focus on one such component of the core promoter recognition complex- the TATA binding protein associated factor 3, TAF3, that was originally identified as a subunit of the TFIID complex in HeLa cells (
Gangloff et al., 2001). It was later found that, while other TFIID subunits are destroyed during myogenesis, TAF3 is selectively retained in myotubes in a specialized complex with TBP-related factor 3, TRF3 (
Deato and Tjian, 2007). A similar TRF3/TAF3 complex functions during Zebrafish hematopoiesis (
Hart et al., 2009). A recent study implicates sub-nuclear localization of TAF3 as another potential mechanism to regulate transcription during myogenesis (
Yao et al., 2011). Intriguingly, TAF3 recognizes trimethylated histone H3 lysine 4 (H3K4me3) (
Vermeulen et al., 2007), which is associated not only with actively transcribed genes but also with silent developmental genes that are poised for activation upon ES cell differentiation (
Bernstein et al., 2006;
Mikkelsen et al., 2007). Thus, these studies establish that TAF3, either as a subunit of TFIID or in association with other potential partners (
e.g. TRF3) may regulate transcription by targeting cell-type specific complexes to core promoters including those that are marked by H3K4me3. Here we report a novel mode of TAF3 action: TAF3 binds the architectural protein CTCF via its vertebrate-specific domain to mediate regulatory interactions between distal CTCF/cohesin bound regions and proximal promoters. Remarkably, we show that this TAF3 activity is critical for early lineage segregation during stem cell differentiation. Thus, our findings unmask new mechanisms that directly link dynamic organization of chromatin structure and transcriptional control of stem cell plasticity.