Interbreeding between animal species usually leads to offspring less vigorous than either parent—if they survive at all. But the combination of wolf, coyote and dog DNA that resulted from this reproductive necessity generated an exception. The consequence has been booming numbers of an extraordinarily fit new animal (see picture) spreading through the eastern part of North America. Some call this creature the eastern coyote. Others, though, have dubbed it the "coywolf". Whatever name it goes by, Roland Kays of North Carolina State University, in Raleigh, reckons it now numbers in the millions.
The mixing of genes that has created the coywolf has been more rapid, pervasive and transformational than many once thought. Javier Monzón, who worked until recently at Stony Brook University in New York state (he is now at Pepperdine University, in California) studied the genetic make-up of 437 of the animals, in ten north-eastern states plus Ontario. He worked out that, though coyote DNA dominates, a tenth of the average coywolf's genetic material is dog and a quarter is wolf.
The animal's range has encompassed America's entire north-east, urban areas included, for at least a decade, and is continuing to expand in the south-east following coywolves' arrival there half a century ago. This is astonishing. Purebred coyotes never managed to establish themselves east of the prairies. Wolves were killed off in eastern forests long ago. But by combining their DNA, the two have given rise to an animal that is able to spread into a vast and otherwise uninhabitable territory.
http://www.economist.com/news/science-and-technology/21677188-it-rare-new-animal-species-emerge-front-scientists-eyes?fsrc=gnews
(http://cdn.static-economist.com/sites/default/files/imagecache/full-width/images/print-edition/20151031_STP001_0.jpg)
Mother Nature finds a way.......
It depends on how much coyotes are really distinct from North American wolf species to begin with.
Dogs are a subspecies of the Gray Wolf, which evolved in Eurasia. Gray Wolves live in North American too, but are now mostly restricted to the north. The Coyote is more closely related to the Eastern Wolf and the nearly-extinct Red Wolf and can interbreed with them easily. The species look very similar (much more similar than some dog breeds, all of which are the same species) to the point it's hard even for experts to tell them apart.
The places where coyotes have been taking over in the 20th centuries are those where Eastern Wolves and Red Wolves have declined. Unsurprisingly this is also where "coywolves" are typically found. How much is this really a "hybridization" of Coyotes with Eastern and Red Wolves versus just genes shifting across a widespread population?