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The performance gain by allowing half-duplex source cooperation is studied for Gaussian interference channels. The source cooperation is in-band, meaning that each source can listen to the other source's transmission, but there is no independent (or orthogonal) channel between the sources. The half-duplex constraint supposes that at each time instant the sources can either transmit or listen, but not do both. Our main result is a characterization of the sum capacity when the cooperation is bidirectional and the channel gains are symmetric. With unidirectional cooperation, we essentially have a cognitive radio channel. By requiring the primary to achieve a rate close to its link capacity, the best possible rate for the secondary is characterized within a constant. Novel inner and outer bounds are derived as part of these characterizations.