Abstract Spatial transcriptomics (ST) technology through in situ capturing has enabled topographical gene expression profiling of tumor tissues. However, each capturing spot may contain diverse immune and malignant cells, with different cell densities across tissue regions. Cell type deconvolution in tumor ST data remains challenging for existing methods designed to decompose general ST or bulk tumor data. We develop the Spatial Cellular Estimator for Tumors (SpaCET) to infer cell identities from tumor ST data. SpaCET first estimates cancer cell abundance by integrating a gene pattern dictionary of copy number alterations and expression changes in common malignancies. A constrained regression model then calibrates local cell densities and determines immune and stromal cell lineage fractions. SpaCET provides higher accuracy than existing methods based on simulation and real ST data with matched double-blind histopathology annotations as ground truth. Further, coupling cell fractions with ligand-receptor coexpression analysis, SpaCET reveals how intercellular interactions at the tumor-immune interface promote cancer progression. Subject terms: Cancer microenvironment, Computational models, Cancer genomics, Tumour heterogeneity, Software __________________________________________________________________ Cell type deconvolution in tumor spatial transcriptomics (ST) data remains challenging. Here, the authors develop Spatial Cellular Estimator for Tumors (SpaCET) to infer cell types and intercellular interactions from ST data in cancer across different platforms, with improved performance over similar methods. Introduction Profiling the transcriptome of cells in their spatial context is critical to a mechanistic understanding of tumor progression and therapeutic resistance^[32]1. Recent years have seen the rapid development of spatial transcriptomics (ST) with gene coverage from a few targets to genome-wide and various cellular resolutions from subcellular to multiple cells^[33]2,[34]3. As a key branch of ST methods, in situ capturing strategy based on positional molecular barcodes enables unbiased capture of the whole transcriptome within intact tissue^[35]3. Its representative techniques include Slide-seq^[36]4, 10x Visium^[37]5, and the early in situ capturing method from which Visium was developed^[38]6. Specifically, the commercial Visium platform can profile mRNA levels in fresh-frozen and formalin-fixed paraffin-embedded (FFPE) tissues, enabling their widespread application^[39]7. However, the spatial spot of various capturing strategies with a 10–100 μm diameter might measure a mixture of signals from multiple cells of different lineages. Consequently, decomposing cell identities in spots is a critical step in characterizing the spatial cellular landscape of tissues. Many methods exist for cell type decomposition in general ST data^[40]8–[41]13 and bulk transcriptome profiling^[42]14–[43]17. However, it is challenging for these methods and their underlying strategies to address the unique issue of tumor ST data. Several methods, such as Stereoscope^[44]8, RCTD^[45]11, and CIBERSORTx^[46]15, predict cancer cell fractions relying on the availability of suitable malignant reference profiles. Other methods, such as EPIC^[47]14, estimate malignant cell fraction without references by estimating the