Ultramatic was the trademarked name of the Packard Motor Car Company's automatic transmission introduced in 1949 and produced until 1954, at Packard's Detroit, Michigan East Grand Boulevard factory. It was produced thereafter from late 1954, thru 1956 at the new Packard "Utica" Utica, Michigan facility.
Packard's Ultramatic transmission was the creation of the company's chief engineer Forest McFarland and his engineering team. The magnitude of this accomplishment is illustrated by the fact that it was the only automatic transmission developed and produced solely by an independent automaker, with no outside help. Devices like the Ultramatic were being tested and designed by Packard from 1935 on, but none satisfied the perfectionist engineer. The Ultramatic's development was halted, as was all automotive work during World War II, but resumed in earnest during 1946.
After World War II, Packard's range had contracted to variants of the mid-priced Clipper line. It was during this period that Packard began to suffer in competition with General Motors' Cadillac Division, thanks in part to their popular self-shifting Hydra-Matic. The Hydra-Matic was available starting in 1941 and became very popular during the 1946-1948 time-frame, pushing along Packard's release of its new automatic drive. Packard at that time (1946–1949) only offered an Electromatic Vacuum Clutch option, which required manual shifting otherwise. As with most vacuum powered shifting and clutching devices, Electromatic was overall generally unreliable.
Finally, in 1949, Packard's 50th Anniversary, McFarland's Ultramatic Drive became available as a $199 option. It was first offered only on the top-line Packard Customs, following in 1950 by the entire lineup.
The first Ultramatic Drive was a hydraulic torque converter automatic transmission with a two-speed plus reverse epicyclic geartrain, with torque converter lockup, called "Direct Drive" by Packard. The unit was fully hydraulically controlled with a "valve body," like most early automatic transmissions before the advent of electronic control.