National Science Foundation puts $1.5 billion behind X-Labs push for independent research teams

The new initiative will fund milestone-based teams working on platform technologies, with early topics covering AI-enabled scientific imaging and quantum systems.

The NSF X-Labs initiative will fund independent research teams working on platform technologies, starting with AI-enabled scientific imaging and quantum systems.

The U.S. National Science Foundation (NSF) has launched NSF X-Labs, a $1.5 billion initiative over the next decade to fund independent research teams working on platform technologies in AI-enabled scientific imaging, quantum systems, and other areas of national science and technology priority.

The program, run by the NSF Directorate for Technology, Innovation and Partnerships, is designed for full-time teams of researchers, engineers, and entrepreneurs. NSF is using the initiative to back teams that can work outside standard university, industry, and grant structures.

The first two topic areas are Scientific Instrumentation for Sensing and Imaging, which includes quantum sensing, artificial intelligence-driven computational imaging, and new chemical modalities, and Quantum Systems: Interconnects and Integrated Photonics, focused on moving quantum information and integrating different quantum systems.

NSF sets out a different funding model

NSF X-Labs will use Other Transaction contract awards rather than a standard Federal Acquisition Regulation-based procurement contract or financial assistance route.

NSF says it expects to make one or more awards through the current solicitation. Domestic responsible entities can submit proposals, with one lead organization holding the contract for each selected X-Lab team.

The model is built around milestones. Phase 0 is expected to last around nine to 12 months, with selected teams eligible for up to $1.5 million. Teams that pass a Phase 1 Go/No Go selection could then move into a 24 to 36-month Phase 1 period, with funding of up to $50 million per year.

Brian Stone, Performing the Duties of the NSF Director, says: "The NSF X-Labs initiative represents our ambitious commitment to meeting the needs of the scientific enterprise today and tomorrow."

He adds: "With an initial investment of up to $1.5 billion in independent, milestone-driven research teams pursuing sector-defining platform capabilities, we're creating the conditions for transformative breakthroughs and accelerating America's leadership in the technologies that will define this century."

Teams must show autonomy from the start

The solicitation puts a clear test in front of applicants: NSF X-Labs teams must be able to operate with substantial independence.

NSF says teams should have control over decision making, staffing, funding, partnerships, research direction, contracting, and day-to-day operations. They must also have internal control of intellectual property produced by the X-Lab, including licensing agreements.

The Autonomy Factor Test is one of the sharper parts of the solicitation. NSF says research, partnership, and organizational decisions should be made "in days not weeks." Teams also must not need approval from a parent institution to allocate funding, change technical direction, hire staff, or negotiate contracts.

Written proposals are capped at eight single-sided pages, excluding the Conflicts of Interest statement. Applicants are asked to set out their Mission, Technology Landscape, Outcomes, Senior/Key Personnel Qualifications, and Team Capabilities Statement.

First topics start with AI imaging and quantum systems

The first X-Labs topics give the program an immediate link to AI, advanced computing, and scientific infrastructure.

For Scientific Instrumentation for Sensing and Imaging, NSF is seeking teams that can build new scientific instruments using quantum sensing, artificial intelligence-driven computational imaging, and new chemical modalities.

For Quantum Systems: Interconnects and Integrated Photonics, NSF is seeking teams that can develop components for transferring quantum information and integrating heterogeneous quantum systems.

The initiative follows NSF’s earlier Request for Information on the Tech Labs concept, which helped shape the first funding opportunity. NSF says additional scientific challenge topics will be announced in the coming weeks.

Michael Kratsios, Assistant to the President and Director of the White House Office of Science and Technology Policy, says: "NSF X-Labs represent a bold step forward in revitalizing American innovation, consistent with our goal of expanding possibilities for American scientists. I encourage all federal research agencies to follow suit. By backing a new generation of independent research organizations, we are giving entrepreneurial teams of scientists and engineers the autonomy, resources and milestone-driven focus to tackle challenges that were difficult to pursue in conventional academic and industry labs, opening brand new lines of inquiry. This is how we build the scientific institutions of the 21st century and secure our technological leadership for decades to come."

The current solicitation lists the offer deadline as May 14, 2028, at 3pm EDT. NSF says further topic areas will follow, giving research teams, universities, nonprofits, companies, and investors a clearer view of where the agency wants independent labs to move next.