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No best answer has yet been selected by billyshears. Once a best answer has been selected, it will be shown here.
For more on marking an answer as the "Best Answer", please visit our FAQ.Some suggest it was transport for the walking wounded. The word root is the same as for ambulatory, which is to do with walking - from the Latin ambulo, which means I walk or I move. The seriously wounded were treated on the battle field, and the dead were loaded onto carts or left where they fell.
However, there are also suggestions that it comes from the wagons used in the Napoleonic wars - which were known as "hopital ambulant", or moving hospitals. The same word root applies to this as French is also based on Latin word roots.