Since 1946 it has been an open question which compact Lie groups can a
ct smoothly on some sphere with exactly one fixed point. In this paper
we solve the problem completely for finite groups: these groups are e
xactly those which can act smoothly on some disk without fixed points,
a class determined by R. Oliver. Our main tools are the Burnside ring
and the Grothendieck-Witt ring (classical to some extent) and a form
of equivariant surgery theory allowing middle-dimensional singular set
s developed recently.