A U.S.-based start-up called Substrate has developed a revolutionary and more affordable lithography technology that could transform the global semiconductor industry. The innovation, called X-ray Lithography (XRL), has the potential to produce advanced chips while dramatically reducing manufacturing costs. This breakthrough could help the United States reclaim its leadership in chip production, a position long dominated by overseas manufacturers.
To understand the scale of Substrate’s progress, it’s important to note that the Extreme Ultraviolet (EUV) lithography machines currently used to print modern chips cost up to $200 million each. These machines, made exclusively by Dutch company ASML, use a wavelength of just 13.5 nanometers to etch intricate circuitry onto silicon wafers. The complexity of the process increases as chipmakers push toward smaller process nodes like 3nm and 2nm, each housing tens of billions of transistors. While EUV technology enables such precision, it also drives up costs and limits accessibility.
The next generation of EUV machines, known as High-NA EUV, is even more expensive — priced between $350 million and $380 million — and while they offer superior resolution and smaller feature printing, the escalating expense has become a major barrier for foundries. Substrate’s XRL approach seeks to change that by replacing conventional EUV light sources with beams created by particle accelerators, which produce light billions of times brighter than the sun.
According to Substrate, these accelerators power new optical and mechanical systems capable of producing extremely fine features for advanced semiconductor designs. The company claims its tools can achieve resolutions comparable to ASML’s 2nm-class processes but at significantly lower operational costs. Substrate expects its technology to reach production readiness before 2030, offering a potential alternative to the costly EUV ecosystem.
The company’s vision is rooted in continuing Moore’s Law, the long-standing observation by Intel co-founder Gordon Moore that the number of transistors on a chip doubles roughly every two years. Substrate argues that while physical limitations are becoming more challenging, the economic constraints of chip manufacturing — often described by Rock’s Law, which says fab costs double every four years — are an even greater threat to progress.
To illustrate the issue, Substrate estimates that by 2030, the cost of producing a wafer using current methods could soar to $100,000, compared to around $30,000 today for 2nm wafers. In contrast, the company believes its XRL technology could bring those costs down to approximately $10,000 per wafer, making advanced chip fabrication far more affordable and sustainable.
Substrate’s mission is not only technological but also strategic. The company’s official statement highlights a broader goal: “Returning the United States to dominance in semiconductor production.” By creating a viable, cost-effective alternative to EUV lithography, Substrate aims to enable domestic chip manufacturers to compete with the world’s leading foundries once again — potentially reshaping the balance of power in the global semiconductor market.
