During the production of α-cyclopiazonic acid (αCA) by Penicillium cyclopium, dimethylallyltransferase (EC. 2.5.1.1.) T, isopentenyl pyrophosphate isomerase (EC. 5.3.3.2) I, and a prenyl-aryltransferase, S, which produces β-cyclopiazonic acid (βCA) are all induced at the same time. This last enzyme appears maximally before the highest rate of α- or βCA production. Both transferases are not utilized to their maximum capacity, and the production of their end products seems to bear no relationship to their concentrations. Other controls therefore must play an important role in the utilization of their common substrate dimethylallylpyrophosphate (DMAPP). There are two possible control systems: (a), a direct competition by S and T for DMAPP; and (b), control by compartmentation. The first possiblility is the more likely, in view of some of the controls that could apply to the deflection. The three enzymes were separated so that possible controls on the deflection of DMAPP from polyisoprenoids could be studied. They all possessed a subunit structure and exhibited maximum molecular weithts (in the absence of divalent cations and presence of a thiol reductant) of 96 000 (S) and 64 000 ( I and T) daltons. Mg 2+ caused a diminution in size to 75 000 ( S) and 50 000 ( I and T) daltons. Mg 2+ had the same effect on I and T but caused major disruptive changes to S. These effects were reversible by addition of EDTA. S was quite specific for DMAPP and cycloacetoacetyl- l-tryptophan (cAATrp) and exhibited Michaelis constants as follows; K m cAATrp, 6.0μ M and K m DMAPP 2.0 μ M. It had no obvious requirement for a divalent cation and had an isoelectric point of 5.3. I had a K m of 6.7 μ M and an isoelectric point of 4.5, and either Mg 2+ or Mn 2+ was essential. The Michaelis constants for T could not be given but its isoelectric point was 5.1. The enzyme carried out the two reactions normally associated with it (i.e., two additions of IPP to produce farnesyl pyrophosphate) and required Mg 2+ to do so. The pH optima for S, I, and T were 6.5–7.5, 6.0, and 8.0 respectively. The early and major controlling factor was the appearance of the cosubstrate of S, cAATrp. Other factors were: (a), the appearance of αCA which inhibited T more effectively than S; (b), the removal of free Mn 2+ and Mg 2+, both essential for I and T but not for S, possibly brought about by chelation with cAATrp, α- and βCA; (c), the observed low pH of 6.0 when the activity of S was unaltered, I was at its highest, and T exhibited 50% of its maximum; and (d), an activation of I by low physiological levels of βCA and cAATrp which would enhance the rate of appearance of DMAPP to react with an existing pool of cAATrp.