Definitions of differentiate:

• verb:   calculate a derivative; take the derivative
• verb:   become distinct and acquire a different character
• verb:   become different during development

  Example: "Cells differentiate"

• verb:   evolve so as to lead to a new species or develop in a way most suited to the environment
• verb:   mark as different
• verb:   be a distinctive feature, attribute, or trait; sometimes in a very positive sense