The purpose of the present study was to determine the role of peroxisome proliferator-activated receptor gamma (PPARγ) activation in smooth muscle cell (SMC) derived form cell formation. Wild and mutant type PPARγ were delivered by adenovirus then activated with troglitazone. The result of Oil Red O staining and FACS analysis showed that PPARγ activation induced lipid accumulation in rVSMCs. Furthermore, PPARγ activation reduced SMC marker genes such as α-actin while induced adipocyte differentiation marker genes and lipid metabolism-related genes as evidenced by RT-PCR and fluorescent immunocytochemistry. All these data demonstrate that PPARγ activation can drive foam cell like change in rVSMCs. Our results strongly suggest that PPARγ expression induces CD36 expression and adipocyte differentiation gene activation in the process of atherosclerosis and might be one of the crucial events in SMC derived foam cell formation.