The feedback pathway from HCs to cones forms the basis of the surround responses of the bipolar cells and is essential for the spectral opponency of horizontal cells. The nature of this feedback pathway is an issue of debate. Three hypothesis are presented in literature: (1) a GABAA-ergic feedback pathway; (2) a GABA-independent feedback pathway that modulates the Ca-current in cones; and (3) an electrical feedback pathway. In this review the evidence for the various pathways will be discussed. The conclusion is that the available evidence favors the hypothesis that feedback modulates the Ca-current in the cones in a GABA independent way. An alternative role of GABA in the outer plexiform layer is discussed and finally the functional consequences of the negative feedback pathway from horizontal cells to cones are presented.