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GAZ design team started to work on the new APC during winter 1956.
Despite the fact that the army wanted a fully roofed vehicle with NBC protection system, the GAZ design did not have those features.
It was argued that firing from the cramped interior would be difficult and the limitation of losses wasn't a priority.
The prototype was built between 1957 and 1958.
ZiL developed a 6x6 design, the ZiL-153, similar in hull shape to the GAZ design.
There were also three other 8x8 prototypes: Ob ' yekt 560 ( also known as MMZ-560 ), Ob ' yekt 1015 ( developed by KAZ ), Ob ' yekt 1015B ( developed by KAZ, it had with a turret-mounted armament and stream propellers, also known as BTR-1015B ) and Ob ' yekt 1020B ( developed by KAZ ).
All prototypes were submitted to state trials in 1959 and even though all passed the trials and even though the Ob ' yekt 1015B performed the best, the GAZ design was selected and given the designation BTR-60P.
Officially the committee which made the decision did so because of the GAZ plant's production capabilities and experience.
The main reason was that the GAZ design was the simplest and cheapest one and introduced the lowest amount of technological advancements which made it easier to put into mass production.

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