Believe it or not, that's about the speed of a dental drill
Dental drills typically operate at speeds of 300,000 to 400,000 RPM according to this article. There may even be faster drills like the one mentioned in this article which mentions a unit that spins at 500,000 RPM.
Building something to rotate that fast requires very good bearings and tight manufacturing tolerances but apparently nothing out of the ordinary.
