I will describe the recent construction of new supersymmetric compactifications of the heterotic string which yield just the spectrum of the MSSM at low energies. The starting point is the standard embedding solution on a Calabi-Yau manifold with Euler number -6 with various choices of Wilson lines, i.e., various choices of discrete holonomy for the gauge bundle. Although they yield three net generations of standard model matter, such models necessarily have a larger gauge group than the standard model, as well as exotic matter content. Families of stable bundles can be obtained by deformation of these simple solutions, the deformation playing the dual role of partially breaking the gauge group and reducing the matter content, and in this way we construct more realistic models. The moduli space breaks up into various branches depending on the initial choice of Wilson lines, and on eight of these branches we find models with exactly the standard model gauge group, three generations of quarks and leptons, two Higgs doublets, and no other massless charged states. I will also comment on why these are possibly the unique models of this type.
