The X-ray Spectrum of Seyfert 2s and Ultra-luminous IR Galaxies Hagai Netzer Tel Aviv University and RIKEN The X-ray spectra of AGN and active star-forming regions are characterized by strong emission lines and a large amount of obscuration. Analysis of the lines in Seyfer 2 galaxies suggest that there are at least two components of highly ionized gas, possibly at different locations. This seems to be in contradiction with the X-ray observations of Seyfert 1 galaxies. Similar X-ray lines are also observed in several ULIRGs, that are very luminous infrared sources powered, most probably, by active starbursts in colliding galaxies. This raises the question of what distinguish AGN excited gas from hot gas in star-forming regions. X-ray emission lines provide the best diagnostics of the hot gas in the center of both AGN and ULIRGs. High spectral resolution observations, by the coming new X-ray missions, will enable us to evaluate the relative contributions of collisionally heated and photoionized gas. The study of ULIRGs with these satellites is likely to provide the first solid evidence for accretion onto massive black holes even in sources thought to be dominated by violent star formation.