PII protein is conserved among bacteria, archaea and plants, and is thought to function as a carbon/nitrogen balance sensor in these organisms. Recently, several proteins that specifically interact with PII, including a PII phosphatase (PphA), an amino acid biosynthetic enzyme (NAGK), a probable membrane channel (PamA) and a small protein (PipX) that also interacts with the nitrogen transcription factor NtcA, have been identified in the unicellular cyanobacteria Synechococcus sp. PCC 7942 and Synechocystis sp. PCC 6803. These findings and subsequent analyses have suggested that PII protein controls carbon and nitrogen metabolism at the gene expression level as well as at the protein activity level. In this review, the functions of PII are envisaged based on functional analyses of the PII-interacting proteins identified in cyanobacteria.