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According to Pedro Sarmiento de Gamboa , a Spanish chronicler of the sixteenth century, the Inca emperor Pachacutec conquered and destroyed Ollantaytambo and then incorporate it into their empire. Under the Incas rules , the town was rebuilt with splendid buildings and the Urubamba River valley was irrigated and provided with platforms , the village served as a shelter for the Inca nobility while the terraces were worked by yanaconas , servants of the emperor. After the death of Pachacutec the region passed to the custody of his panaqa , his family.
During the conquest , Ollantaytambo served as a temporary capital for Manco Inca Yupanqui , leader of the Inca resistance against the Spanish conquerors . Under his leadership , the town and its surroundings were heavily fortified in the direction of the ancient Inca capital of Cuzco , which had fallen under Spanish domination . In Mascabamba Plain , near Ollantaytambo , Manco Inca defeated a Spanish expedition blocking their advance from a set of terraces and flooding the plain . However, despite his victory , Manco Inca did not consider staying in Ollantaytambo feasible so retreated to the dense forest of Vilcabamba . In 1540 , the native population of Ollantaytambo was assigned in encomienda to Hernando Pizarro.





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