During the Battle of Stalingrad, Luftwaffe fighters exhibited significant speed, climb rate, and armament advantages over those of the VVS.
The Yak-1 then in service was understood to be in urgent need of a modernization were it to fight on equal footing against the latest models of German fighters, as well as better energy retention and higher firepower.
Although there were plans to put the Yak-3 into production, the scarcity of aviation aluminium and the pressure of the Nazi invasion led to work on the first Yak-3 being abandoned in late 1941.
A second Yak-1M (originally meant as a "backup") prototype was constructed later that year, differing from the first aircraft in that it had plywood instead of fabric covering of the rear fuselage, mastless radio antenna, reflector gunsight and improved armour and engine cooling.
The chief test pilot for the project Petr Mikhailovich Stefanovskiy was so impressed with the new aircraft that he recommended that it should completely replace the Yak-1 and Yak-7 with only the Yak-9 retained in production for further work with the Klimov VK-107 engine.
All armament was installed close to the axis of the aircraft with a cannon mounted in the engine "vee" firing through the propeller boss, synchronised machine guns in the fuselage, helping accuracy and leaving wings unloaded.
[7] The Luftwaffe issued an order to "avoid combat below five thousand metres with Yakovlev fighters lacking an oil cooler intake beneath the nose!
[9] Unresolved wartime problems with the Yak-3 included plywood surfaces delaminating when the aircraft pulled out of a high-speed dive,[2] short range and poor engine reliability.
The pneumatic system for actuating landing gear, flaps and brakes, typical for all Yakovlev fighters of the time, was troublesome.
Flying a modified modern production Yak-3UPW powered by a Pratt & Whitney R-2000 engine, William Whiteside set an official international speed record for piston-engined aircraft in the under-3,000 kg (6,600 lb) category on 10 October 2011, reaching 655 km/h (407 mph) over a 3 km (1.864 mi) course at the Bonneville Salt Flats in Utah in the United States, greatly exceeding the previous record of 491 km/h (305 mph) set in 2002 by Jim Wright.