We recently described a 50,000 dalton polypeptide Bp50 (CDw40) that is expressed on human B cells and plays a role in regulating B cell proliferation. Here we additionally characterize the functional signal given by antibody binding to Bp50 on both normal and malignant B cells. A monoclonal anti-Bp50 antibody could augment the proliferation of B cells activated by anti-IgM, anti-CD20, or 12-O-tetradecanoyl phorbol-13-acetate (TPA) stimulation, but was not co-stimulatory with B cell growth factor (BCGF), interleukin 1, or interleukin 2. The signal did not depend on the Fc portion of the antibody, because F(ab')2 fragments of anti-Bp50 were still functionally active. Both anti-Bp50 and a low m.w. BCGF preparation were similar in that both were co-stimulatory with the same agents and both anti-Bp50 and BCGF affected activated B cells but not resting B cells. However, a panel of B cell malignancies differed in their responsiveness to anti-Bp50 vs BCGF: some tumors proliferated in response to anti-Bp50 but not BCGF, whereas other tumors had the opposite pattern. Bp50 was found to have several properties in common with HLA class II molecules: both Bp50 and class II were expressed at lower levels on blood B cells than on tonsillar B cells; the expression of both Bp50 and class II was increased after activation of blood B cells with TPA or anti-IgM; and the expression of both Bp50 and class II was increased after activation of non T, non-B acute leukemias with BCGF. Thus class II and Bp50 expression may be under common regulatory control. The fact that BCGF modulated the expression of Bp50 on leukemic cells suggests that BCGF and Bp50-mediated signals may be coordinately regulated.