The Emergence of the Pony Car

Recognizing an underserved youth market in the 1960s, a Ford engineer named Iacocca led the campaign for something small and sporty

by Ted Welch

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In 1960, Robert McNamara stepped down as President of the Ford Motor Company to accept a Cabinet position in the Kennedy administration. His successor, Lee A. Iacocca, was a bright engineer who made his way up through the company by way of the sales department. With a keen talent for marketing, Iacocca surveyed 1960 design offerings and found little on the horizon to meet the newly identified "youth-oriented" market. While the market had been identified, Iacocca felt that Ford should lead the way by defining it and exploring design options to fulfill it.

With this in mind, a team of Ford executives was assembled to bring together market information and pursue design concepts. Known unofficially as the "Fairlane Committee," the group quickly recognized the public's desire for a low-cost sporty car. Focusing on the success of the early Thunderbird and customer surveys, the T-5 Project was born.

The T-5 Project brought engineers and designers together to put shape to the findings of the Fairlane Committee. At first, there was a lot of discussion on whether the new car would be a two-seater like the early Thunderbirds or a four-seat version. While survey information reflected the public's desire for a four seat car, what emerged was an innovative rear-engine, two-seat design.

Looking more like a European exotic than a production vehicle, the Mustang I was of a tubular frame design with four-wheel independent suspension. The car was powered with a 91.4 cid, V-4 engine designed and built by Ford of Germany for the "Cardinal." The aluminum body housed two radiators mounted forward of the rear wheels on each side. Their positioning was a space saving technique, yet it added a real sporty style to the car's appearance.

Debuting at the United States Grand Prix at Watkins Glen, New York, in October, 1962, the Mustang I clocked speeds over 100 MPH with 0-60 MPH acceleration in 10 seconds. While there was a lot interest in the Mustang I prototype, it was clear that the design lacked mass appeal. The designers were asked to go back to the design table.

To bring in more new ideas, a competition within the corporation was encouraged. The design team headed by Joe Oor, Gayle Halderman and David Ash won the competition with their design they called the "Cougar." While the Oor team was busy moving the design into production, Ford felt a show prototype was needed to whet the public's appetite.

This plan nearly turned out to be a misstep for Ford. Ford's eagerness to show the car gave their competition a head start on planning their own stable. There is little doubt that the Chevrolet Camaro, Pontiac Firebird, American Motors Javelin, and Plymouths drastically restyled Barracuda were all responses to Iacocca's new "Pony Car."

The job of creating the prototype car was handed to the Eugene Bordiant's Advanced Styling Studio. The Mustang II had a 108-in. wheelbase and was powered with a 271 hp, 260 High Performance V-8. Gone were the rear-engine design, the independent rear suspension and the functional air scoops.

The new prototype bore a closer resemblance to the production Mustang. Styling cues such as rear quarter trim, taillights, jutting grille, and a number of other detail hints would later find their way into production. The prototype was touted as the 'Two-Plus-Two'--a car built for two with the addition of the small rear seat, making room for four. The Mustang II made its debut at the Watkins Glen track in the spring of 1963 and wowed the crowds at the auto shows.

While the name was being considered, other design concepts were still being explored. A four-door model as shown here was under consideration, along with Fastback and Convertible designs.

Final designs were complete in late 1963, and tooling began in the Dearborn Assembly Plant.