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Fig. 1. `Classic' PTEN pathway. Binding of ligand to membrane receptors activates PI3K. Activated PI3K phosphorylates PI(3,4)P (PIP2) to produce PI(3,4,5)P (PIP3). PIP3 recruits PDK1 to the plasma membrane. PDK1 phosphorylates and activates AKT, which regulates various cellular processes. The lipid phosphatase activity of cytoplasmic PTEN dephosphorylates PIP3, thereby decreasing PIP3 levels and increasing levels of PIP2, resulting in a concomitant decrease in AKT activity.