Summary 1
kfz-tech.de/YFi171
Similar to Germany, Italy's unity was not achieved until 1861, meaning it was still a young, underdeveloped country when Fiat was founded around the turn of the century. The north slowly found its way to industrialization,
while the south remained largely agricultural.
A successful colonial policy seems to have been missed due to the late founding of the empire, but attempts were nevertheless made to gain influence through conquests in North Africa, which, however, failed miserably
in Ethiopia.
Since 1882, Italy has been allied with Austria-Hungary and the German Empire. In 1900, Italy had approximately 34 million inhabitants, Austria-Hungary 51 million, and Germany 65 million. The mass emigration, especially
from the south, from around 1850, mainly to the USA, appeared to be declining.
Wikipedia states that 'Italy's social legislation ranked last in Europe.' We mention this so explicitly because it influenced Fiat's history before and between the wars, but even more so after World War II.
A troubled country, even shortly before the founding of Fiat. In Milan, there had just been an uprising against rising bread prices, resulting in hundreds of deaths.Exactly around 1900, the reigning king is shot after 22 years
in term of office.
The most important cities were those in northern Italy, including Turin and Milan. It was not without reason that Fiat was founded in Turin, and Alfa Romeo was founded shortly thereafter in Milan. For a time, the rivalry later
shifted into racing.
Nevertheless, eight gentlemen from the upper echelons of Turin's society founded a car company on July 11, 1899, despite, or rather because, there were only 100 cars in the city at the time. Unlike other startups at the
time, they had a more than solid capital base of 800,000 lire.
The first car was built that same year. It was probably not built entirely by hand without the aid of accompanying tools, but at least the nameplate was hand-engraved. Three examples still exist: two in the Museo dell'
Automobile in Turin and one in the Ford Museum in Dearborn.
Only 20 examples were built with the conventional face-to-face seating arrangement. At least the vehicle was lightweight enough to be pushed backwards by hand. In the next model, at least the engine moved to the front.
The two-cylinder engine was retained, but as displacement and power increased, the radiator was completely redesigned. Starting in 1901, 56 units of the car were built at the newly built factory on Corso Dante.
The number of employees grew rapidly from approximately 500 in 1904 to 2,500 in 1906. The shape of the car also changed from a short wheelbase with a top open at the front and possible emergency seats behind it to a
basic torpedo shape, if possible also with an auxiliary top and a long wheelbase.
According to Wikipedia, exports to France and England began in 1903, playing a significant role in the search for foreign currency for the Italian state and for Fiat from then on. With the two brakes acting practically only on
the rear wheels, little changed in the chassis at first.
Given the poverty in many parts of the country, the company probably focused more on building smaller vehicles. These only later became something of a trademark for the company. Nevertheless, and probably also due to
the emerging connection to America, the company did not neglect the construction of large cars.
With the doubling of the two-cylinder engine and ever-increasing displacement, performance increased, and with it the range of models. Development only culminated with the 21.7-liter Mefistofele racing version, still with
four cylinders.
The First World War appears to have been particularly important for Fiat's development. Italy, although an ally, entered the war late. The commitments to both partners were declared binding only in the event of a defensive
situation. During the discussion of this issue, a certain Benito Mussolini appeared for the first time.
They stuck to their stance and, with the Treaty of London, even sided with the opponents of the Central Powers, because they offered Italy more potential territorial gains. Although Italy did not enter World War II until 1916,
the supply of weapons provided part of the basis for Fiat's rapid expansion.
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