Considerable progress in understanding railgun operation, requirements, and limitations has been made. It appears that railguns may have potential application to space propulsion and direct launch. This paper discusses the state-of-the-art and expected capability of railgun systems. It includes the requirements and an example design of an Earth-based system capable of launching projectiles through the atmosphere at velocities greater than 8 km/s. The critical issues and problem areas that require investigation are described.