We consider a two-point spatial lattice approximation to an open string mov
ing in a fiat background with B field. It gives a constrained dipole system
under the influence of a vector potential. Solving and quantizing this sys
tem recover all the essential features of a noncommutative space. In partic
ular, open string interactions induce a canonical product structure on the
Hilbert space of the dipole system. It coincides with the usual star produc
t, even though the position operators can be thought of as mutually commuti
ng. Modification of gauge transformations in this noncommutative space also
naturally emerges. (C) 1999 Published by Elsevier Science B.V. All rights
reserved.