Founded in 1861 in response to the increasing industrialization of the United States, the institute adopted the European polytechnic university model and emphasized laboratory instruction from an early date. MIT's early emphasis on applied technology at the undergraduate and graduate levels led to close cooperation with industry. Curricular reforms under Karl Compton and Vannevar Bush in the 1930s re-emphasized basic scientific research. MIT was elected to the Association of American Universities in 1934. Researchers were involved in efforts to develop computers, radar, and inertial guidance in connection with defense research during World War II and the Cold War. Post-war defense research contributed to the rapid expansion of the faculty and campus under James Killian.

MIT's involvement in military research surged during World War II. In 1941, Vannevar Bush was appointed head of the federal Office of Scientific Research and Development and directed funding to only a select group of universities, including MIT. Engineers and scientists from across the country gathered at MIT's Radiation Laboratory, established in 1940 to assist the British military in developing microwave radar. The work done there significantly impacted both the war and subsequent research in the area. Other defense projects included gyroscope-based and other complex control systems for gunsight, bombsight, and inertial navigation under Charles Stark Draper's Instrumentation Laboratory; the development of a digital computer for flight simulations under Project Whirlwind; and high-speed and high-altitude photography under Harold Edgerton. Work on defense projects continued even after then. Post-war government-sponsored research at MIT included SAGE and guidance systems for ballistic missiles and Project Apollo.

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