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For spacecraft applications, energy storage sources are required to produce a high yield with minimum size and mass. Flywheel systems have the potential to fill this need while also providing attitude control for the guidance of the craft. Other advantages include on-board peak power management, extended service life (as compared to chemical batteries), and provisions for redundant systems with minimum effect on the projected payload of the craft. This paper reviews the results of flywheel design projects carried out at The University of Texas at Austin Center for Electromechanics (UT-CEM), discusses the role of composites in design development, and presents a detailed discussion of a flywheel design currently under study.