In 1937, the Bell Aircraft created - as its first military aircraft - a unique fighter concept touted to be "a mobile anti-aircraft platform" as well as a "convoy fighter". Created to intercept enemy bombers at distances beyond the range of single-seat fighter interceptors, the YFM-1 (Y, service test; F, fighter; M, multiplace) was an innovative design incorporating many features never before seen in a military aircraft.
The airplane, riginally designated the Bell Model 1, first flew on 1 September 1937 and was plagued with problems from the start. The lofty performance estimates were unobtainable as, despite its sleek looks, the Airacuda was heavy and was slower than most bombers. In the event of interception by enemy fighters, the Airacuda was not maneuverable enough to dogfight, while the bombload was of little use in the intended fighter-bomber role. Even the 37 mm cannons were of less value than predicted.
Despite all these problems with prototype, a 12 production models were ultimately built, in three slightly different versions, one fully operational Airacuda squadron was eventually assembled and operated from 1938 until 1940. Several plans were made to modify the aircraft, including modifying the airframe and adding more powerful engines, but all proposals were eventually rejected. By 1942, all nine surviving ones had been flown by ferry crews to a training facility at Chanute Field, Illinois, where the aircraft were assigned to the 10th Air Base Squadron to be used for ground crew instruction. By March 1942, all Airacudas had been scrapped.