With the retirement of the Space Shuttle inevitable, the US is faced with the need to loft a reliable cost-effective, technologically viable solution to bring the nation s fleet of spacecraft back up to industry standard. It must not only support the International Space Station (ISS), it must also be capable of supporting human exploration beyond low Earth orbit (LEO). NASA created the Constellation Program to develop a new fleet including the launch vehicles, the spacecraft, and the mission architecture to meet those objectives. The Ares First Stage Team is tasked with developing a propulsion system capable of safely, dependably and repeatedly lofting that new fleet. To minimize technical risks and development costs, the Solid Rocket Boosters (SRBs) of Shuttle were used as a starting point in the design and production of a new first stage element. While the first stage will provide the foundation, the structural backbone, power, and control for launch, the new propulsive element will also provide a greater total impulse to loft a safer, more powerful, fleet of space flight vehicles. Substantial design and system upgrades were required to meet the mass and trajectory requisites of the new fleet. Noteworthy innovations and design features include new forward structures, new propellant grain geometry, a new internal insulation system, and a state-of-the art avionics system. Additional advances were in materials and composite structures development, case bond liners, and thermal protection systems. Significant progress has been made in the design, development and testing of the propulsion and avionics systems for the new first stage element. Challenges, such as those anticipated with thrust oscillation, have been better characterized, and are being effectively mitigated. The test firing of the first development motor (DM-1) was a success that validated much of the engineering development to date. Substantive data has been collected and analyzed, allowing the Ares First Stage team to move forward, fine-tune the design, and advance to production of the second development motor (DM-2), which is now in fabrication. This paper will provide an overview of the design, development, challenges, and progress on the production of the new Ares First Stage propulsion system