BMW greenlights development of affordable electric models i1 and i2
What's the story
BMW has given the go-ahead for the development of two entry-level electric vehicles, the i1 and i2. These models are currently being developed at BMW's FIZ R&D center in Munich. The i1 will debut in 2027, followed by the i2 in 2028. The aim is to provide more affordable options in BMW's electric car line-up, which presently starts at £46,205 (₹48.9 lakh) with the iX1. The new models will be sold alongside updated combustion-powered 1 Series and 2 Series.
Target demographic
Aim to attract younger generation
The i1 is expected to be sold as either a hatchback or a saloon, while the i2 will be a compact crossover with an optional coupe bodystyle. Bernd Körber, BMW's product boss, stated that the brand aims to "connect with the younger generation" and believes entry-level models like 1 Series and 2 Series are essential for this. He acknowledged that these models have lower profitability but serve a different purpose in attracting younger customers and developing BMW in certain markets.
Market opportunity
Opportunity in Mercedes-Benz's A-Class retirement
Korber also expressed that the retirement of Mercedes-Benz's A-Class in 2026 presents an opportunity for BMW to increase its market share with the 1 Series. The new models will be built on the Neue Klasse platform, which supports an 800V electric architecture designed for single, dual, and quad-motor electric drivetrains. This platform includes next-generation software and connectivity functionality that will be implemented across all future BMW models. In contrast, the combustion-powered 1 Series and 2 Series use the FAAR platform.