Although more than 98% of natural isolates of Haemophilus influenzae type b carry a duplication of 17 kilobases (kb) of DNA at the chromosomal capsulation locus, only one copy is required for capsulation. In one laboratory-derived and two clinical type b strains, the capsulation locus had a single copy of this 17-kb segment, together with 1.3 kb of DNA identified as lying between the repeats of the duplicated locus. This 1.3 kb appears to be crucial for capsule production, since strains lacking it, although retaining a 17-kb segment, were capsule deficient. On comparing capsule polysaccharide production by these three type b strains with that by a prototypic type b strain with a duplicated locus, a gene dosage effect was demonstrated, with a halving of detectable polysaccharide in the single-copy strains. Despite this reduction in polysaccharide, these strains retained virulence potential as evidenced by bacteremia and meningitis in infant rats. As well as subserving augmented capsule polysaccharide production, a duplicated configuration of the type b cap locus endows strains with genetic instability not found in capsulate single-copy variants. We speculate that a survival advantage might be conferred on strains carrying a duplication at this locus as a result of gene dosage, the genetic instability of the locus, or both.