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Proton exchange membrane fuel cells (PEMFCs) are being developed and sold commercially for multiple near term markets. Ballard Power Systems is focused on the near term markets of backup power, distributed generation, materials handling, and buses. Significant advances have been made in cost and durability of fuel cell products. Improved tolerance to a wide range of system operation and environmental noises will enable increased viability across a broad range of applications. In order to apply the most effective membrane electrode assembly (MEA) design for each market, the system requirements and associated MEA failures must be well understood. The failure modes associated with the electrodes and membrane degradation are discussed with respect to associated system operation and mitigating approaches. A few key system considerations that influence MEA design include expected fuel quality, balance-of-plant materials, time under idle or open circuit operation, and start-up and shut-down conditions.