This paper reviews both proximity X-ray and EUV lithography activities related to ASET. The PXL project was started in 1996, and an 8' stepper (XS-1) and 100 keV mask EB writer was built, aiming to study the applicability of PXL to 100 nm device generation. The CD control and overlay study by XS-1 gave promising results, showing that a key issue is high accuracy mask fabrication. The EB writer has been attaining high image placement accuracy of 10 - 20 nm, however, process- induced distortion of the same level has also been observed. The work is under way to further reduce these numbers. Application of PXL to several integration studies is also under way by collaborating with the ASET PXL member companies. The EUV project was started in October 1998, studying optics technology, mask process and wafer resist process. The main subjects are: mirror fabrication and figure evaluation by visible PDI; optics at-wavelength testing; mask substrate multi-layer coating; absorber patterning; and resist exposure characteristics. We collaborate with Himeji Institute of Technology to study the resist process and at-wavelength testing.