(May 2007) BMW: 1-Series arrives in 2008 (Automotive News)
WOODCLIFF LAKE, N.J. -- BMW's subcompact 1-Series will come to the United States next year, BMW of North America's top executive says. CEO Tom Purves says a two-door coupe will be on sale here in 2008.

He declined to give a timetable. He says BMW has never backed away from bringing the 1 series to the United States despite exchange rate pressure. The weak dollar relative to the euro forces European importers to choose between higher prices and lower margins. "We can deal with it," Purves says.
He would not deny that a convertible also will come to the United States.
For years, BMW would not say when it would launch the 1 series in the United States. A hatchback version went on sale in Europe in 2003. The five-door was freshened this year and shown at the Geneva auto show. The newest model features technologies such as regenerative braking and an automatic stop-start function that turns the engine off in situations such as red lights. Pricing isn't known, but the 1 series likely will start below the 3 series.

Background

Development of entry BMW continues; -referred to a 1-Series (in Europe) with launch delayed in the U.S. market. Note that BMW's naming scheme for the U.S. has not been confirmed. Reports indicate that the new entry is being developed in sedan form (expected to be called 1-Series); with coupe and convertible bodystyles also being developed. Note that the coupe and convertible may be called 2-Series in the U.S. After its divestiture of Rover cars in March of 2000CY, BMW formally confirmed that it would develop its own line of cars, under the BMW badge, "for the upper end of the lower midsize segment". The car is positioned below the existing 3-Series Compact, and is priced lower. This new entry-level car for BMW, dubbed 1-series, will spawn a few body-style variants like its upper sibling 3-Series - it is intended to be a high volume seller in the sub-luxury class, aimed at high-selling Audi A3. At 4.23m, the 1-Series is 24 centimeters shorter than the 3-Series. However a relatively long wheelbase of 2.66m is required due to the longitudinal engine, rear drive setup. Although the wheelbase 1-Series is 8cm longer than the front-drive, transverse-engined Volkswagen Golf, rear passenger space is limited. Overall width is 1.75m and overall height is 1.42m.

The 1-Series is aimed at a younger demographic seeking an upscale premium car, who are new to the BMW brand. The 1-Series 5D hatchback (E87) debuted at the 2004 Paris Motor Show and went on sale in September 2004CY. Following up the 5D Hatchback is a sporty 3D Hatchback model (E81), due in the 3rd Quarter of 2006CY for the European market.

BMW originally backed away from a firm commitment to launch the 1-Series in the important U.S. market. Due to the strength of the EURO against the U.S. dollar, BMW's already thin margins on the 1-Series were seriously eroded in market projections. As a result, BMW originally chose to take a "wait and see" approach with the U.S. market. Originally, BMW had looked at a version of the European market 5D Hatchback for the U.S. market, but the plan was quickly shot down, as BMW has not had a good history with hatchback models (specifically the old 3-Series Compact hatch). A Sedan variant was in early development as the launch model for the U.S. market (where sedans are more popular than hatchbacks) - however BMW of North America wants all 1-Series and 1-Series derived vehicles for the U.S. market to be equipped with 6-cylinder powerplants. The Sedan was slated to join the 1-Series lineup in the 3rd Quarter of 2007CY in the European market, and following in the 4th Quarter for the U.S. Market. The Sedan version is hardly as important as the hatchbacks in Europe, and was not expected to generate large European sales. The Sedan was largely aimed at the U.S. market, where hatchbacks are low in popularity. As originally conceived, the 1-Series Sedan would actually be longer, and have a slightly longer wheelbase than its hatchback siblings. This slight increase in size was mainly aimed at the U.S. market consumer, who generally expects better legroom and overall interior space.

However in Summer of 2005CY, BMW underwent a major strategy change, canceling plans for the Sedan and a Wagon model (based on the same larger wheelbase of the Sedan) that was also under early development. Numerous factors went into this decision. The major factor was that BMW felt that the larger size of the Sedan and Wagon could impact sales of the larger 3-Series Sedan and Wagon models - this was a concern shared by both BMW's North American Sales arm, as well as headquarters in Germany. In addition, a 1-Series Sedan was not seen as having strong sales potential in the European market, where small hatchbacks are significantly more popular.

2008 MY

BMW will continue to focus on development of a Coupe model (E82) as well as a Convertible (E88) that are both based on the 1-Series platform and mechanicals. In addition, an on-again, off-again strategy to rename the Coupe and Convertible models “2-Series” is now on-again.

Part of the strategy with the naming of the models is to appeal to the deep heritage and popularity of the old BMW 2002 model 2 door models, particularly in the U.S. market. BMW believes that tapping this vein of popularity will help ensure a strong launch for an all-new smaller 2-Series range in the U.S. market.

In addition, BMW was encouraged by the strong launch of the higher-end BMW 6-Series Coupe and Convertible models, and wishes to replicate the success in a smaller, lower priced model.

Styling of both the Coupe and Convertible models were largely previewed by the BMW CS1 Convertible Concept that was first shown at the 2002 Geneva Motor Show. BMW’s “flame surfacing” theme, with concave and convex lines merging to produce a unique surface effect carries over to the 2-Series. In fact sources indicate that the front end of the Production version is little-changed, except for smaller, more stylistically rendered headlamps, and a flatter BMW kidney grille. The rear end is largely unchanged from the concept.

In a shift of strategy, BMW will first launch the Convertible model first in the late Q1 2008CY, for the 2008MY in the U.S. Market, followed by the Coupe a few months later. The Convertible will feature a powered retractable cloth top. A folding hard top was initially investigated, but was quickly abandoned, due to cost and weight issues.

The 2-Series will share powertrains with the European Market 1-Series range. The lineup will include a Valvetronic 24V Inline 6-cylinder powerplant that produces 265hp. Several months after launch, BMW will expand its petrol engine lineup at the top end with the addition of a Twin-Turbocharged 3.0L Direct Injection Inline 6-cylinder petrol powerplant. Although the same engine is also found in the 3-Series 335i model (producing 306PS), the engine in the 1-Series will reportedly be detuned to about 290PS. The engine features BMW's Piezo Petrol Direct Injection technology. BMW's long-rumored ZSG double-clutch transmission (similar to the Volkswagen group's DSG in operation), is likely to be optionally available with this engine as well.

All models will come with Dynamic Stability Control with Dynamic Traction Control, 6 airbags, Brake Force Display function for tail lamps, and run-flat tires with Tire Puncture Warning System.

Similar to the facelifted 1-Series, the new 2-Series makes use of 3 major fuel saving technologies.

The first is Brake Energy Regeneration (iGR), which utilizes an Intelligent Alternator Control (IAC) and an Absorbent Glass Mat battery to recycle energy that was previously lost by the vehicle’s rolling wheels. The IAC reduces drag on the engine by engaging only when required to charge the battery – conventional alternators always draw power from the engine. The battery also charges on situations of engine over-run, such as under-braking or descending a hill. BMW claims a 3% fuel savings with iGR.
The second system is an Automatic Start-Stop function, which is standard on most manual transmission models. The Start-Stop function automatically turns the engine off when the vehicle is stationary and the driver puts the car in neutral. When the clutch is engaged, the engine restarts. The function can also be manually switched off by the driver.

The third system is Electric Power Steering, which utilizes an electric motor to provide power assistance. BMW claims a 90% energy savings vs. a conventional mechanical hydraulic steering system.

The 2-Series suspension setup is shared with the 1-Series, including an aluminum front axle setup with McPherson struts, and a 5-link rear independent suspension. Typical BMW systems, such as Dynamic Stability Control, Dynamic Traction Control, Dynamic Brake Control and Electronic Differential Lock are expected to be standard equipment. The 2-Series will include front, front-side and side curtain airbag systems.
The 2-Series' interior is largely expected to mimic that of the 1-Series, including a push button starter, and a spartan front dash layout, with seating capacity for 4 people.

The iDrive knob-based controller system will be offered, as will be a Navigation system with pop up LCD color screen.

Other equipment will include Sport Seats with width adjustment, Bluetooth capability, front & rear parking assist, and Bi-Xenon headlamps. An optional Keyless entry card system and a voice-activated radio and navigation system will also be available.

Inside, the 2-Series will also feature MP3 and USB stick compatibility, with audio tracks selectable by steering wheel controls or the iDrive system. The optional Adaptive Headlights have been improved with the addition of 2 cornering lights that illuminate the direction of travel between 22 and 40 mph.

The 2-Series Coupe follows in the late Q2 of 2008CY, (2008MY). Engines will be shared with the Convertible model.

2009 MY

As with the 1-Series, BMW plans to offer M-powered versions of the 2-Series range. For the 2-Series models, the M-versions are slated for the 1st Quarter of 2009CY (for the 2009MY). BMW’s original plan was to introduce an M-powered 2-Series with an Inline 6-Cylinder powerplant producing about 240PS. However, with the onslaught of high powered models such as Volkswagen’s R32 and upcoming R36 Golf models, BMW has readjusted their plan.

BMW is currently developing a new version of the 3.0L Inline 6-Cylinder powerplant, that is currently testing in ranges from 315-345 HP.