The acquisition of a sexually dimorphic phenotype is a critical event in ma
mmalian development. Although the maturation of sexual function and reprodu
ction occurs after birth, essentially all of the critical developmental ste
ps take place during embryogenesis. Temporally, these steps can be divided
into two different phases: sex determination, the initial event that determ
ines whether the gonads will develop as testes or ovaries; and sexual diffe
rentiation, the subsequent events that ultimately produce either the male o
r the female sexual phenotype. A basic tenet of sexual development in mamma
ls is that genetic sex-determined by the presence or absence of the Y chrom
osome-directs the embryonic gonads to differentiate into either testes or o
varies. Thereafter, hormones produced by the testes direct the developmenta
l program leading to male sexual differentiation. In the absence of testicu
lar hormones, the pathway of sexual differentiation is female. This chapter
reviews the anatomic and cellular changes that constitute sexual different
iation and discusses SRY and other genes, including SF-I, WT1, DAX-1, and S
OX9, that play key developmental roles in this process. Dose-dependent inte
ractions among these genes are critical for sex determination and different
iation.