Substrate is developing a new chipmaking tool that uses X-ray light to etch the microscopic patterns needed to produce advanced computer chips to replace existing lithography machines. The startup's bigger ambition is to build its own chip factories in the United States and slash the cost of making the world's most advanced processors.

Substrate's approach uses X-ray light from a compact particle accelerator to achieve comparable resolution at dramatically lower cost than its core competitor, ASML. The company plans to not just sell equipment but build its own network of semiconductor fabs, vertically integrating the manufacturing chain. AI's insatiable demand for advanced chips has made domestic semiconductor manufacturing a national security imperative, directly fueling investor and government interest in Substrate's mission to break the ASML/TSMC duopoly.

Substrate emerged from stealth in October 2025 with $100M in funding led by Peter Thiel's Founders Fund at a $1B valuation, with backing from In-Q-Tel and General Catalyst.