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In July 1941 the US Army Ordnance issued specifications for a medium armored car alongside a specification for heavy armored car (which resulted in the T18 Boarhound). Ford Motor Company built a 6 x 6 (six wheels, all driven; called "six-by-six") prototype which was designated T17 and Chevrolet a 4 x 4 (four wheels, all driven; called "four-by-four") model designated T17E1. Both variants were armed with a 37 mm gun in a rotating turret, a coaxial machine gun and a bow machine gun. Some T17E1 had an additional machine gun for anti-aircraft defence. Production started in October 1942. However, eventually the US military decided to adopt the lighter M8 Greyhound vehicle instead. T17 production was stopped and the 250 units produced were disarmed and given to the US Military Police, while the T17E1 production continued for the United Kingdom. The British named T17s Deerhound and T17E1s Staghound.

The Staghound was an innovative design that incorporated some advanced features. It had two rear-facing 6-cylinder engines with automatic transmissions feeding through a transfer case to drive both axles. Either engine could be shut down while in motion and taken out of the drive train. Additionally, a power steering pump was incorporated which could be switched on or off manually from the driver's instrument panel depending on steering conditions. The 37mm gun was gyroscopically stabilized.

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