Mercedes-AMG GmbH, commonly known as AMG, engineers, manufactures and customises Mercedes-Benz-branded vehicles. Mercedes-AMG is headquartered in Affalterbach, Baden-Württemberg,
Germany. Originally an independent engineering firm specialising in
performance improvements for Mercedes vehicles, DaimlerChrysler took a
controlling interest in 1990, then became sole owner of AMG in 2005.
Mercedes-AMG GmbH is now a wholly owned subsidiary of Daimler AG. AMG models typically have more aggressive looks, a higher level of
performance, better handling, better stability and more extensive use of
carbon fibre than their regular Mercedes counterparts. AMG models are
typically the most expensive and highest-performance of each Mercedes
class, with the exception of non-AMG V12 models found in the most
expensive nameplates of the lineup.
AMG variants are usually badged with two numerals, as opposed to regular Mercedes-Benz vehicles which have three. AMG was founded as a racing engine forge in 1967 under the name AMG Motorenbau und Entwicklungsgesellschaft mbH (AMG Engine Production and Development, Ltd.), by former Mercedes engineers Hans Werner Aufrecht and Erhard Melcher in Burgstall an der Murr, near Stuttgart. The letters "AMG" stand for Aufrecht, Melcher and Großaspach (Aufrecht's birth Town). In 1976 most of AMG moved to Affalterbach,
with the racing-engine development remaining at the old location in
Burgstall. At this time Erhard Melcher ceased to be a partner, but
continued to be an employee at the Burgstall location.
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