This study describes the production of soluble Fc gamma RII by a cell line, D1B1, obtained by transfection of mouse L cells with a murine beta 1 Fc gamma RII cDNA. Upon incubation at 37 degrees C, radioiodinated D1B1 cells release a 39-kDa soluble Fc gamma RII, reacting with the rat anti-mouse Fc gamma RII monoclonal antibody 2.4G2, and binding to mouse IgG2a, IgG2b and IgG1 but not IgG3. In contrast to the transmembrane 50- to 70-kDa receptor, this soluble Fc gamma RII does not react with antibodies directed against a peptide corresponding to the 15 carboxy-terminal intracytoplasmic amino acids of beta Fc gamma RIII. N-Glycosidase F treatment generates a 18-kDa polypeptide. A 32- to 40-kDa soluble Fc gamma RII, which resolves into 18.5- and 20-kDa polypeptides after deglycosylation, was also isolated from the culture medium of unlabeled D1B1 cells. Therefore, this study indicates that soluble Fc gamma RII corresponding to the two extracellular domains of Fc gamma RII are generated by cleavage of membrane Fc gamma RII. Proteolysis occurs most probably at the vicinity of the transmembrane region of the receptor, around amino acids 165 to 180.