Generation of a stable interface between soft tissues and biomaterials could improve the function of transcutaneous prostheses, primarily by minimizing chronic infections. We hypothesized that inclusion of non-biodegradable biomaterials in an artificial skin substrate would improve integration of the neodermis. In the present study, we compared the biocompatibility of an experimental substrate, consisting of collagen and glycosylaminoglycans, with commercially available artificial skin of similar composition. By utilizing a mouse excisional wound model, we found that the source of collagen (bovine tendon versus hide), extent of injury and wound contraction were critical determinants of inflammation and neodermis formation. Reducing the extent of injury to underlying muscle reduced inflammation and improved remodeling; the improved conditions allowed the detection of a pro-inflammatory effect of hide-derived collagen. To eliminate the complication of wound contraction, subsequent grafts were performed in guinea pigs and showed that inclusion of carbon fibers or non-degradable sutures resulted in increased foreign body response (FBR) and altered remodeling. On the other hand, inclusion of a polyester multi-stranded mesh induced a mild FBR and allowed normal neodermis formation. Taken together, our observations suggest that non-degradable biomaterials can be embedded in an artificial skin construct without compromising its ability to induce neodermis formation.