This engine was designed by Harold E. Morehouse, whose first engine was built by the Steel Products Engineering Company of Springfield, Ohio in 1923; and developed 14.9 kW (20 hp). It was used for experimental work by the Propeller Branch of the Army’s Engineering Division. This later larger model was sold to the Wright Aeronautical Corporation. Known as the Wright-Morehouse engine, it was introduced in 1925, and designed to conform to the National Aeronautic Association contest requirements for light plane engines. Particular attention was paid to make it simple, rugged, and easy to care for and inspect. It was also designed for a reduction gear, when required. This type of engine powered the prototype Aeronca C-2 .

The manufacturing rights for the WM-80 were eventually sold by Wright to Lincoln Aircraft of Lincoln, Nebraska, and the engine renamed the Lincoln “Rocket.” The engine did not achieve any commercial success.