Abstract. Evolvable Hardware (EHW) is a scheme - inspired by natural evolution, for automatic design of hardware systems. By exploring a large design search space, EHW may find solutions for a task, unsolvable, or more optimal than those found using traditional design methods. During evolution it is necessary to evaluate a large number of different circuits which is normally most efficiently undertaken in reconfigurable hardware. For digital design, FPGAs (Field Programmable Gate Arrays) are very applicable. Thus, this technology is applied in much of the work with evolvable hardware. The paper introduces EHW and outlines how it can be applied for hardware design of real-world applications. It continues by discussing the main problems and possible solutions. This includes improving the scalability of evolved systems. Promising features of EHW will be addressed as well, including run-time adaptable systems.