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Provided is a method for generating an otic progenitor cell from an iPSC comprising steps of i) culturing an iPSC under conditions sufficient to inhibit Wnt signaling and activate FGF signaling for a first time period sufficient to induce upregulation of one or more otic cell markers, and ii) culturing the cell obtained in step i) under conditions sufficient to activate Wnt signaling and reduce FGF signaling relative to step i) for a second time period sufficient to maintain upregulated expression of said one or more otic cell markers.