The history of German light four-wheeled armoured cars (leichter Panzerspähwagen) began in the mid-1930s, when the need arose to replace the outdated Sd.Kfz.13 and Sd.Kfz.14 models. The new series was based on a specialised standardised chassis (Einheitsfahrgestell) produced by Horch, featuring all-wheel drive, independent suspension, and a rear-mounted engine.

Several variants were produced within this series. The most numerous was the Sd.Kfz.222, with 989 units manufactured between 1935 and 1943. It was designed for reconnaissance missions and armed with a 20 mm KwK 30 or KwK 38 cannon and an MG 34 machine gun. Its key feature was an open-topped ten-sided turret with folding mesh grenade screens. The crew consisted of three men: commander/gunner, loader, and driver. The Sd.Kfz.223 served as a reconnaissance and communications vehicle, equipped with a powerful radio set and a folding frame antenna (Rahmenantenne). A total of 550 units were produced.

The Sd.Kfz.260 and Sd.Kfz.261 (Kleiner Panzerfunkwagen) were specialised armoured radio vehicles for headquarters and signal units. They used the same hull as the reconnaissance versions but without a turret or main armament, allowing space for a four-man crew and extensive radio equipment. A total of 493 vehicles of these variants were built. All versions proved effective in combat and remained in service until the end of the war in 1945 due to their reliability.