Hmm, nice. The tentacles look quite impressive, and the engine design looks also pretty good so far, too. White is a good choice for colour, giving a neat contrast to the black tentacles, but are there any good pieces to make some highlights in some other colour?
I wouldn't be so sure about removing a number of tentacles, though. It might give the pod a cleaner look, but the current, a kind of an entropy-look is very cool, too. I would, however, do away with the dark grey sylindery thingies in the front; they're sticking out somewhat awkwardly.
Overall, it's really looking neat so far. The main idea itself is cool, too; making an alternative model as contest entry wouldn't be the first thing to pop into my head.