Signal transducer and activator of transcription 3 (STAT3) is a key mediator of the inflammatory response of macrophages and other immune cell types. The naturally occurring polyphenol resveratrol is associated with anti-proliferative and anti-inflammatory properties via mechanisms implicating inhibition of STAT3 signaling. Here, we report that the small-molecule analogs of resveratrol, RSVA314 and RSVA405, are potent inhibitors of STAT3. RSVA314 and RSVA405 inhibited both constitutive and stimulated STAT3 activity in HEK293 cells and lipopolysaccharide-stimulated RAW 264.7 macrophages, respectively. The small-molecule analogs inhibited STAT3 nearly 50 times more potently than did resveratrol (apparent IC(50) ~0.5 μm). We further show that RSVA405 interfered with the inflammatory response by RAW 264.7 cells upon lipopolysaccharide stimulation by inhibiting IκB kinase and IκBα phosphorylation and by decreasing the expression of several cytokines, including the NF-κB target genes tumor necrosis factor α and interleukin-6. Downstream activation of STAT1 upon lipopolysaccharide stimulation was also inhibited by RSVA405. Consequently, RSVA405 significantly interfered with the phagocytotic activity and proliferation of lipopolysaccharide-activated RAW 264.7 macrophages. Finally, we found that the effect of the two small-molecule analogs on STAT3 phosphorylation could be prevented by inhibitors of protein tyrosine phosphatases, indicating that the small molecules acted by promoting dephosphorylation of STAT3 by protein tyrosine phosphatases.