In 1874 Guglielmo’s sons, Giovanni and Battista Diatto, began building railway carriages for Compagnie Internationale des Wagons-Lits and the Orient Express.

In 1835 Guglielmo Diatto, a 30-year-old wheelwright from Carmagnola, founded a workshop on the banks of the river Po in Turin for the manufacture and repair of carriage wheels.

The company developed a worldwide sales and support network, with vehicles being exported to : From 1912 onwards Diatto expanded rapidly, becoming one of the top Italian industrial groups.

factory.de:Vetture Automobili Leggere Torino[n 2] It then consolidated both the workforces and plant in the new factory in 'Via Frejus' (Turin) where they were able to produce over 40 units a month.

The Gnome et Rhone 9 cylinder rotary engine won several prestigious trans-European prizes such as the Mediterranean crossing; the Gordon Bennet Cup; the Reims Meeting; plus the Raids of Friedrichshafen, Düsseldorf, Cuxhaven, Zeebrugge, and Dunkerque.

[further explanation needed] The build-up to World War 1 lead to orders for 5,000 aviation engines for Italy, Russia, France and United Kingdom.

During year 1932 the company changed ownership and limited production only to spare parts for cars already produced, which was then ceased in 1955 On 9 February 2007 Zagato announced the revival of the Diatto marque to celebrate its 100th anniversary.