Considerable progress is being made in the transfer of genetic material to hematopoietic stem cells. In this chapter we describe how gene transfer is being used to: mark marrow and peripheral blood progenitor cells prior to autologous transplantation, to track their fate on reinfusion and to detect contaminating tumorigenic cells; modulate immunocyte function--important in immunologic disorders and perhaps in cancer therapy; generate tumor vaccines from tumor cells isolated from marrow; correct single gene defects--the 'classical' concept of gene therapy; and finally to modify the drug sensitivity of progenitor cells--enabling them to resist the suppressive effects of cytotoxic drugs during cancer therapy and perhaps providing a mechanism for in vivo selection of gene modified cells.