E3SM is an Earth System Model being developed by the DOE Energy Exascale Earth System Model (E3SM) project. E3SM Version 1 is scheduled to be released in 2018. The E3SM atmosphere model runs with the spectral element dynamical core from HOMME, upgraded to include new aerosol and cloud physics and improved convection and treatment of the pressure gradient term, and a formulation for elevation classes to better handle atmosphere and land processes more realistically in the vicinity of topography. The E3SM Land Model (ALM) is based on Community Land Model (CLM) version 4.5 updated to include a full suite of new biochemistry and VIC hydrology and dynamic land units and extensions to couple to land ice sheets. The E3SM ocean, sea ice and land ice components will be built on the MPAS framework.