The Rolls-Royce Silver Ghost name refers both to a car model and one specific car from that series.
Originally named the "40/50 h.p." the chassis was first made at Royce's Manchester works, with production moving to Derby in July 1908, and also, between 1921 and 1926, in Springfield, Massachusetts. Chassis no. 60551, registered AX 201, was the car that was originally given the name "Silver Ghost." Other 40/50 hp cars were also given names, but the Silver Ghost title was taken up by the press, and soon all 40/50s were called by the name, a fact not officially recognised by Rolls-Royce until 1925, when the Phantom range was launched.
The Silver Ghost was the origin of Rolls-Royce's claim of making the "best car in the world" – a phrase coined not by themselves, but by the prestigious publication Autocar in 1907.
The chassis and engine were also used as the basis of a range of Rolls-Royce Armoured Cars.
In 1907 Claude Johnson, commercial and managing director of Rolls-Royce, ordered a car to be used as a demonstrator by the company. With chassis no. 60551 and registered AX 201, it was the 12th 40/50 hp to be made, and was painted in aluminium paint with silver-plated fittings. The car was named the "Silver Ghost" to emphasise its ghost-like quietness, and a plaque bearing this name adorned the bulkhead. An open-top Roi-des-Belges body by coachbuilder Barker was fitted, and the car readied for the Scottish reliability trials of 1907 and, immediately afterwards, another 15,000-mile (24,000 km) test which included driving between London and Glasgow 27 times.
The aim was to raise public awareness of the new company and to show the reliability and quietness of their new car. This was a risky idea: cars of this time were notoriously unreliable, and roads of the day could be horrendous. Nevertheless, the car set off on trials, and with press aboard, broke various records. Even after 7,000 miles (11,000 km), the cost to service the car was a negligible £2 2s 7d (£2.13). The reputation of the 40/50, and Rolls-Royce, was established.
AX201 was sold in 1908 to a private customer, who used it for his annual holiday to Italy, and recovered by the company in 1948. Since then, it has been used as a publicity car and travelled worldwide. In 1991, the car was restored.
In 2005 it was noted to be the world's most valuable car, its insured value was placed at US$35 million.
After the 1998 sale of Rolls-Royce Motors Ltd the car passed into the ownership of Bentley Motors.