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Originally posted by Roger E<br />40 years later I am still wondering why on earth Märklin decided to use AC power. In order to change direction of the loc Märklin had to design into every loc a quite complicated direction change relay. This made the loc not only more expensive, but also less reliable than if using DC. With DC, direction change is done simply by changing the polarity on the track.
The direction change relay usually worked fine when properly adjusted and the loc had good power pick up, but when badly adjusted or on dirty track or wheels the loc could change direction on its own or take off at high speed – should be familiar to those of you that have played with pre-digital locs. For locs with digital decoder this is not an issue any more since direction change is done by an electronic circuit.
So why did Märklin use AC? The best reason I can think of is that a mains-to-DC power source would be more complicated than a transformer in the early days. Or maybe some patent issues?

Roger,
A fairly easy one to answer. Maerklin started HO scale in the 1930s. The small scale adaptation of O gauge trains included the 3 rail system.
The first competitors (see Trix Express) also used a 3 rail system.
Later, other manufacturers (Fleischmann, etc) began producing models in this scale using 2 rail DC.
Maerklin loks could be reversed by initiating a surge, which would activate a relay in the lok, causing the lok to reverse. Manual change of direction was also possible using the lever built in to the relay mechanism.
DC loks could be reversed by reversing the polarity of the tracks. Initially this was accomplished by clicking a switch on the transformer. Later transformers included a central 0 with direction selected by turning the lever clockwise or counterclockwise.
The other way to reverse the lok was to physically lift and turn the lok around.
The introduction of digital has revolutionized the DC world, making directional problems (polarity) and reverse loops a problem of the past.
Modellers who wish to be as prototypical as possible often select the 2 rail DC system for a few reasons, including:
1) Sticklers do not want a third rail as it is not prototypical
2) DC tracks offer flex tracks, slim switches and other possibilities so far offered by Maerklin only in limited items.
3) DC tracks tended to be more prototypical in terms of ties and design of the railbed.
4) DC companies took more risks in terms of models (level of detail) than did Maerklin. This was one way for these companies to compete with M. These companies saw the opportunity that followed the demise of ADE and decided to go for that niche.
There are a few prototype modellers who use DC trackage, but power their electric models using AC through the catenary. This is an interesting way to combine the two technologies.
I have been experimenting using the reverse, using AC Maerklin C-Track with DC power through the catenary.
The choice is up to each modeller, depending on requirements and personal tastes, most often based on childhood experience.
I can say that Maerklin's M-Track outlived the Triang track that we had as kids in the 1960s. The M-Track withstood all of the abuse that we could heap on it, and still can be run today, although I prefer not to mix the solid 3rd rail material with the newer track.
It is for that reason that I decided to buy my nephew a start set with C-Track. Unfortunately, due to pieces breaking off, it is too bad that they did not stick with the good old metal tracks, but that is a whole other issue.
They should have made M Tracks in radius 3 and 4 before discontinuing the line.[:(]
Regards
Mike C