The modular high-temperature gas-cooled reactor (MHTGR) is modularized primarily to provide the passive safety that will prevent fuel damage over a wide spectrum of accidents. Specifically, this range of safety includes the simultaneous accidental loss of primary coolant flow, depressurization of the coolant system, and failure to trip control mechanisms. The high-temperature capability of the fuel to retain fission products provides a safe margin over this broad spectrum. The passive safety feature of the MHTGR allows elimination of active safety-related cooling components (e.g., pump and valves). The result is a savings in capital cost and an important simplification of management and operator requirements for surveillance of the reactor system. Safety is also less affected by human error. Other advantages of modularization include cost reduction and quality control by factory fabrication and possibilities for stepwise additions to a power plant to follow load growth. A new approach to licensing has been initiated as part of the MHTGR development. This concept includes a system to bridge between the integrated approach to the MHTGR design requirements and the regulatory licensing process. The projected busbar costs (mills per kilowatthour) are estimated to be competitive with coal-fired plants of the same size when two or more MHTGR modules are utilized. Designs with the passive safety features are discussed. Some incentives and impediments for deployment of the MHTGR are examined. In addition, suggestions for university research related to MHTGR are presented.