The model of Arc Reactor. The Palladium Arc Reactor Mark III was the reactor used by Tony for six months (the time jump from Iron Man I to Iron Man II) to power his armors and electromagnet in the movie Iron Man 2. It was created to replace the one which was stolen by Stane and later destroyed. It is eventually replaced by an improved reactor as the palladium was slowly poisoning Tony to death. Mark II was a testbed for an Integrated reactor, allowing James Rhodes to steal the Mark II suit.