Tatra developed the vehicles, also known as “tower railcars”, to transition passenger transport on branch lines and narrow-gauge railways with low passenger density from steam to internal combustion engines. Designer Hans Ledwinka's idea was to simplify operation and reduce costs with a single, elevated driver's cab. Its chassis corresponded to a two-axle goods wagon and the engine was suspended in the middle. The driver sat above the engine on a rotating chair from which he could see both directions of travel.

Most variants were powered by a petrol engine with an output of between 65 and 120 hp, which was connected to a four-speed gearbox and drove one axle. A conventional reversing gear was installed in the first variants. Later, engines with two camshafts were used, which could turn in both directions and thus made it possible to drive forwards and backwards. The tanks were arranged on the roof in front of and behind the cab. Depending on the engine power installed and the route profile, up to two specially developed trailers could be attached.

The first construction lot from 1928 included three different types. The M 120.3 series with 36 seats and an overall length of 9.20 m, which reached 55 km/h and of which a total of 27 examples were built up to 1930, was created for passenger transport on standard-gauge routes. At the same time, the M 140.1 series for express freight traffic was created, which was only 5.80 m long, was the fastest variant at 70 km/h and was only built four times. Furthermore, the M 11.0 series, which was somewhat narrower and shorter than the M 120.3 series, was built nine times for the Bosnian gauge of 760 mm.

The variants built later were all passenger railcars in standard gauge, which were between 10.53 and 10.70 m long and had a higher engine output. It all started with the M 120.4 series, of which 89 examples were built between 1930 and 1935. They initially had 100 and later 120 hp and were 60 km/h fast. A total of 63 examples of the M 130.2 series were built between 1933 and 1937 with the same dimensions and power data, but a new interior design. At the same time, the M 130.3 series was created, 30 of which had a diesel engine with initially 120 and later 125 hp and were otherwise almost identical to their sisters.

The vehicles were distributed to many branch lines within Czechoslovakia. After the annexation of the Sudentenland by Germany and World War II, some vehicles were removed from their ancestral territory. Just some of the narrow-gauge railcars of the M 11.0 series made it to Austria and later others were on Hungarian or Romanian territory. The majority of the vehicles remained in Czechoslovakia after the end of the war. With the introduction of the modern railcars of the M 131.1 series, the M 120.3 series was at first phased out by 1949. The M 120.4 series lasted the longest, the last examples of which were parked in 1965.

After the Second World War, four light railcars of the type VT 135 remained in Czechoslovakia, which were used as a basis for the development of an own railcar. The mechanical Mylius gearbox used in the German prototypes was reproduced and the specification for the engine was to use the air-cooled V12 diesel known from the Tatra 111 truck. The engine was throttled slightly to improve reliability in railway service. With a length of just over twelve meters, the vehicles offered 48 second-class seats and up to 21 standing places.

The first 40 pieces were made entirely by Tatra. For the next 100 pieces, most of the assemblies were still made by Tatra, but they were assembled at Vagonka Tatra in Studénka. Another 200 pieces were made entirely in Studénka until 1951. Another series of 209 pieces followed from 1954, bringing the total to 549. Due to the large number of pieces and wide distribution, they were nicknamed “Hurvinek”, after a puppet known in Czechoslovakia. Use in passenger transport ended in 1984. The surviving examples were reclassified as class 801 from 1988.

Through the conversion of individual vehicles, various sub-series have emerged over the years. A total of 85 examples were designated M 131.2, which were converted from 1967 for the maintenance of overhead lines. Two vehicles had an engine from LIAZ with hydrodynamic power transmission, which were listed as M 131.3 and were used as the basis for the development of the M 152.0. Some broad-gauge vehicles for traffic in the direction of Ukraine and the Soviet Union were designated as M 131.5, while the only example of the M 131.6 was a former vehicle from the class M 131.2, from which the tower structure was removed and which was then used in an accident salvage train.

A total of 60 class M 296.1 and M 296.2 motor cars were built for the operation of important fast and express trains on non-electrified lines. The trains also included the “Vindobona” Berlin-Prague-Vienna. The vehicles are rounded at both ends, both of which have a driver's cab but a gangway only on one side. Trains were made up of two motor cars and four trailers. A 588 kW engine is located in the car body in a separate engine compartment. From 1997, 50 vehicles were converted to the class 854, receiving a new Caterpillar engine with the same power and a more modern passenger compartment.

Under the marketing name “RegioPanter”, Škoda offers electric multiple units that were originally developed only for regional transport and are officially called 7Ev. The sets that have already been built consist of two to four cars, each of which has both axles of one bogie powered. Five- and six-car sets are also available. The “InterPanter” was later introduced for intercity traffic.

The first vehicles were taken over in 2011 by ČD, which is still the largest customer today. For greater export opportunities, they can be ordered for all four common DC and AC systems in Europe. Trains have already been exported to Slovakia and Latvia and more are to be delivered to Estonia and Uzbekistan from 2024. An order from Germany for the Nuremberg S-Bahn was canceled after legal disputes with the loser of the tender.