This will be the start of BMW's new electric vehicle future.
BMW has just announced it is going to invest a cool $1.05 billion into its plant in Steyr, Austria. To see what that looks like, and what it means, we refer you to the photos below. Basically, it boils down to this: BMW is going to spend over $1 billion to make more electric cars because it wants to drive future profits, and because the company happens to be good at it. The BMW iX is a fantastic EV despite its looks.
In total, BMW said that $745 million of that deal is going right into production. Specifically, that means core componentry for BMW's new electric drivetrain, which will power the next-level EV you might want to buy in the next few years.
That investment into the EV drivetrain includes the development of a new rotor, stator, transmission, the inverter and its housing. If that's all a bit technical just know this: BMW is making a new electric drivetrain on two new assembly lines a bazillion miles from where you probably live. If anything, the news is that BMW will continue to develop its EVs and make them better, and the platform they'll sit on years from now is starting its life today.
"Years of experience and a wealth of drivetrain expertise make BMW Group Plant Steyr the ideal location for the sustainable mobility of the future," BMW's production chief, Milan Nedeljkovic, said. All told, the new investment will result in the production of more than 600,000 e-drives every year. Critically BMW says it will be "maintaining high production capacity utilization for diesel and petrol engines." Hopefully, that includes many new engines for many new M cars.
Right now, BMW hasn't offered any details on this up-and-coming electric drivetrain. The brand has made it clear just how important the development of this new powerplant is, but understandably, it doesn't need everyone knowing what's cooking just yet.
We do know that the drivetrain itself will run BMW roughly $241 million from now until 2030. Development of new drivelines is never cheap, and now more than ever it is important for BMW's upcoming driveline to get things right, lest the brand be left behind as companies all over switch to electrified vehicles.