Soon after the adoption of the
7.62×51mm NATO M14 rifle in 1957, the
U.S. Army's Continental Army Command (CONARC) began an investigation of small-caliber, high-velocity (SCHV)
rifles as an offshoot of the military's existing research program,
Project SALVO. ArmaLite and
Winchester Arms were solicited by CONARC to provide prototype automatic rifles chambered for high-velocity centerfire .22 rounds. The
ArmaLite AR-15 was a scaled-down version of the 7.62mm
AR-10, which had appeared too late to be a serious contender against the M14 for adoption by the US Army. Its competitor was the Winchester .224 Light Rifle, a
"Carbine" Williams prototype carbine design in a .22 high velocity round which was similar to, but not interchangeable with, the .223 Remington (5.56×45mm). During the protracted U.S. military trials of the AR-15, ArmaLite's corporate owners
Fairchild essentially gave up on the design, and sold the AR-15 production rights to
Colt. Fairchild also spun off ArmaLite as an independent company, allowing the new owners to buy all of the company's designs except for the AR-10 and AR-15. When the U.S. military ultimately selected the AR-15 as the
M16, ArmaLite could no longer profit from its adoption. The
ArmaLite AR-16 appeared in the later 1950s. The AR-16, a 7.62mm NATO selective-fire rifle, was
Eugene Stoner's final design for ArmaLite. The AR-16 and its predecessor, the AR-12 were designed by Stoner in response to demands by the military forces of smaller, less developed nations for a less expensive, yet state-of-the-art selective-fire military rifle that unlike the AR-10 and AR-15, could be produced inexpensively of heavy-gauge sheet metal using automatic screw machines, lathes, and presses. The AR-12 originally featured a direct-impingement (DI) gas operation system, but this was changed to a more conventional short-stroke
gas piston in the AR-16 after ArmaLite sold the production rights to the DI system to Colt Firearms. The U.S. military's later adoption of the AR-15 gave legitimacy to its 5.56mm cartridge, and ArmaLite sought to develop a competing design chambered in 5.56mm that did not infringe on the Colt license agreement. With Stoner gone, it was decided to scale down the AR-16, and ArmaLite's new chief designer, Arthur Miller, embarked on the project. The resulting 5.56mm design appeared in 1963 and was named the AR-18. Miller later received for the rifle in 1969. ==Construction and design==