Founded by two passionate former Mercedes engineers, Erhard Melcher and Hans Werner Aufrecht, in 1967, AMG began its journey with a focus on racing engines. Initially dedicated to design, testing, and production for the racetrack, AMG quickly recognized a growing demand for performance enhancements and bespoke vehicle customization beyond just engines. By the 1970s, AMG’s reputation for high-performance upgrades and personalized touches began to attract a discerning clientele. This burgeoning market allowed AMG to expand from its motorsport roots into a medium-sized enterprise with an international reach.
A pivotal moment arrived in 1976 when Mercedes-AMG, then comprised of a dozen employees, relocated to dedicated workshop and office facilities in Affalterbach, Germany – a location still synonymous with AMG today. Innovation further propelled AMG’s growth, and in 1984, a significant breakthrough occurred when Melcher developed an independent cylinder head featuring four valves per cylinder. This engineering prowess was famously demonstrated in 1986 with “The Hammer,” a 5.0-liter V8 engine implanted into a Mercedes-Benz E-Class Coupe. “The Hammer” quickly achieved iconic status, particularly in the United States, becoming a symbol of AMG’s potent blend of luxury and performance.
The late 1980s marked the commencement of a formal collaboration between Daimler-Benz and AMG, initially as official racing partners. This partnership yielded significant success in the Deutsche Tourenwagen Meisterschaft (DTM) racing series. AMG-prepared Mercedes-Benz 190 race cars, backed by factory support, secured an impressive 50 DTM victories between 1988 and 1993, solidifying AMG’s racing pedigree. Recognizing AMG’s increasing influence and market presence, DaimlerChrysler AG acquired a majority stake in the company on January 1, 1999. This integration deepened further on January 1, 2005, when DaimlerChrysler assumed 100 percent ownership, establishing Mercedes-AMG GmbH. This complete acquisition allowed AMG to fully leverage the extensive resources and global infrastructure of Mercedes-Benz, paving the way for an even wider range of Mercedes-AMG models to be developed and offered to enthusiasts worldwide. Today, Mercedes-AMG represents the pinnacle of performance within the Mercedes-Benz family, offering a diverse portfolio of high-performance vehicles that embody power, luxury, and cutting-edge technology.
