Embryos have evolved various strategies to confine the action of secreted s
ignals. Using an HRP-Wingless fusion protein to track the fate of endocytos
ed Wingless, we show that degradation by targeting to lysosomes is one such
strategy. Wingless protein is specifically degraded at the posterior of ea
ch stripe of wingless transcription, even under conditions of over-expressi
on. If lysosomal degradation is compromised genetically or chemically, exce
ss Wingless accumulates and ectopic signaling ensues. In the wild-type, Win
gless degradation is slower at the anterior than at the posterior. This fol
lows in part from the segmental activation of signaling by the epidermal gr
owth factor receptor, which accelerates Wingless degradation at the posteri
or, thus leading to asymmetrical Wingless signaling along the anterior-post
erior axis.