“…To circumvent this limitation, several groups have developed methods to differentiate hPSCs into progenitors of the lung epithelium, [ 33 , 34 , 36 , 52 , 63 , 66 ] which can then give rise to alveolar cell types, partially recapitulating the development of the lung epithelium during sacculation and alveologenesis. Methods also exist to generate more purified populations of alveolar cells called alveolospheres, [ 22 , 34 , 101 , 102 , 130 ] which have already proven useful for modeling congenital disease of the alveoli [ 131 , 132 ] and alveolar injury. [ 133 ] These methods, although state-of-the-art, provide an incomplete picture of sacculation and alveolar development in humans because they either lack mesenchyme, [ 63 , 66 , 101 ] require exogenous mesenchyme for alveolar differentiation, [ 34 , 102 ] generate immature alveolar cells stochastically, [ 33 , 36 , 52 , 63 , 66 ] or give rise to ATII cells only.…”