Late in 1949 with the engineering and tooling about 75% complete, three of the TE-1As redesigned YT-35 were entered in the revived USAF trainer competition commencing in 1950. An evaluation program using students flying competing aircraft would be held at Randolph Air Force Base. Following receipt of the USAF order, Temco decided that in addition to the extensive changes that had been made to the TE-1A, a 165-hp Franklin engine would be installed. The USAF agreed to the change, with this model designated the TE-1B and given the name “Buckaroo”. Development of the TE-1A and the TE-1B continued concurrently. The TE-1A was designated for export, and the TE-1B was for the USAF. One TE-1A was bought by the Israeli Air Force and a second one was bought by the Greek Air Force.