NSF X-Labs Initiative: AI for Physical Systems
| To: | Associate Deans for Research; College/School Research Administrators |
| From: | Office of the Vice Chancellor for Research |
| Date: | September 24, 2026 |
| Subject: | NSF X-Labs Initiative: AI for Physical Systems |
Deadline
| Deadline for Internal Review: | October 26, 2026 |
Project Description
The National Science Foundation (NSF) Directorate for Technology, Innovation and Partnerships (TIP) announces its intent to solicit Written Proposals for NSF X-Labs teams in the technical domain of physical AI. This NSF X-Labs announcement is issued under the Other Transactions Agreement Solutions Offering (OTASO), NSF-OTASO-FY26-XLabsInitiative.
Decades of progress in digital AI have positioned the U.S. to redefine how intelligent systems interact with the physical world. The next frontier of AI requires developing intelligent, adaptive, and scalable systems for complex physical environments. NSF is seeking NSF X-Labs teams to develop early-stage technologies that enable breakthroughs to accelerate entirely new forms of AI integration in physical systems, including advanced sensors, robotics, embodied systems, human-robot interfaces, and cyber-physical systems. Teams applying to this topic will produce innovative platform technologies that benefit a broad range of application domains critical to U.S. competitiveness and security, which may include healthcare, national defense, emergency response, advanced manufacturing, and scientific discovery.
The NSF X-Labs initiative will include a preparation phase (Phase 0) with a Phase 1 Go/No Go selection period beginning around the last quarter of Phase 0. NSF intends to award teams selected for Phase 1 an approximately 24 to 36-month period of performance with the intention of renewing high-performing teams for Phase 2 following subsequent Go/No Go selections.
Please note that this internal competition pertains only to the X-Labs: AI for Physical Systems opportunity. Internal competitions for the X-Labs: From Sequence to Function and X-Labs: Computation at the Limit of Physics opportunities will be issued separately upon NSF’s release of Topic Announcements in those areas.
Amount per Phase 0 Award: $1,500,000
Duration of Phase 0 Award: 9 months
Eligibility
UW-Madison may submit two Phase 0 proposals as lead organization.
Please note: Each department may submit materials for one researcher to the NSF X-Labs Initiative: AI for Physical Systems internal competition. Applications must be submitted to OVCR through the researcher’s home department.
Website
The following link contains additional information on the program and specific application instructions:
https://sam.gov/workspace/contract/opp/4e209132c1cd4720856b490f43ec19e4/view
Internal Competition Application Instructions
Applications for Internal Review
To submit your application, attach a single PDF to an email to grants@research.wisc.edu no later than October 26, 2026. Please include the following:
- Cover page including the project title, name and department of PI and Co-PIs, and names of collaborating institutions. Please include a statement indicating that your department chair has reviewed and approved your application and has selected you as the department’s sole nominee for this internal competition.
- PI CV or NSF Biosketch
- Project summary of no more than two pages that describes how the proposed project meets the goals of the solicitation
Sponsor Deadlines
Applications are due to National Science Foundation by January 07, 2027.
Questions?
Contact grants@research.wisc.edu.