The discovery of optical gamma-ray burst (GRB) counterparts with measurable
redshifts has shown that the sources are indeed cosmological in origin. Th
e energy source and emission mechanism remain a mystery. A common aspect of
many GRB models is the collision of two compact objects, typically neutron
stars. The energy released forms a relativistic blast wave that eventually
converts its kinetic energy into radiation via synchrotron shocks. The Lor
entz boosting of the radiation makes it appear in the gamma-ray regime. The
observed X-ray and optical counterparts match some predictions of an exter
nal shock model, in which the blast wave collides with the surrounding ambi
ent medium. However, recent studies of burst time histories suggest that th
e gamma-ray active phase of bursts cannot result from external shocks. Feat
ures found in the time-resolved spectra of gamma-ray bursts also suggest th
at their emission mechanism is not optically thin synchrotron. In this pape
r, we will review the more important gamma-ray burst observations, discuss
briefly the development of the synchrotron shock model for GRBs, and propos
e that this model cannot currently explain the prompt emission of gamma-ray
bursts.