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The break-up occurred in 1934, which was when the program was initiated.Boeing may have started the design while still part of United Aircraft and Transportation Corp.
You mean the prototype itself? In that case, I'm surprised they didn't pick the R-1830 if it was available. It was more powerful and would have extracted some extra speed out of it.As this was a private venture, they probably decided to keep as much as possible "in house".
However, the prototype was more lax in what they could pick for available engines.For the production aircraft, the Army told the aircraft manufacturer which engine they would use!
That said, the top speed of the aircraft was said to be around 235 mph which was only 1-2 mph off the Martin 146. If preferred customer was an issue, then why not the R-1830? It was used on the XPBY (which flew in March of 1935).4 x 750hp engines vs 2 x 850hp engines?