BMW has unveiled the 2026 iX3 electric SUV, the first model in its “Neue Klasse” (New Class) lineup representing a €10 billion ($17.9 billion) investment. This ground-up redesign marks BMW’s most significant technological overhaul in decades, targeting competitors from Tesla to Chinese automakers like BYD.
The new iX3 boasts substantial improvements over its predecessor, with BMW claiming up to 805 km (500 miles) of range on the European WLTP testing cycle – a 75% increase from the previous model’s 460 km despite having a battery only 35% larger at 108 kWh.
“When you ask our CFO he will tell you it’s a horrible number,” said BMW board member Dr. Joachim Post about the investment. “It is the highest investment BMW ever did.”
The launch model, the iX3 50 xDrive, features dual motors producing 345 kW (469 hp) and 645 Nm of torque, enabling 0-100 km/h acceleration in 4.9 seconds. The vehicle adopts an 800-volt electrical architecture that enables charging at up to 400 kW, allowing a theoretical 10-80% charge in 21 minutes or adding 350 km of range in 10 minutes.
However, this peak charging rate requires compatible infrastructure that’s currently scarce – only two 400 kW chargers exist in Australia today, one each in NSW and Western Australia.
The iX3 introduces BMW’s new “Panoramic iDrive” interface, featuring a 43.3-inch display spanning the width of the windscreen and a 17.9-inch central touchscreen. The system retains physical controls for essential functions like turn signals and volume adjustment while moving other features to touch or voice control.
Dr. Mike Reichelt, who led development with three decades of BMW experience, emphasized the comprehensive nature of the changes: “We never changed or made such a big step in company’s history because every technology is completely new. It’s not normally the development philosophy in the automotive industry, but it was necessary at this time.”
BMW claims the new electronic architecture includes four high-performance computers called “superbrains” that manage everything from the drivetrain to automated driving features. The “Heart of Joy” computer processes driving dynamics information ten times faster than previous controllers, while the driving assistance computer reacts 20 times faster than earlier versions.
This redesigned architecture has practical benefits beyond performance – BMW states the wiring harness is 30% lighter and uses 600 meters less wiring than previous designs, contributing to efficiency improvements.
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Sustainability features prominently in BMW’s messaging, with claims that the iX3’s carbon footprint is 34% smaller than its predecessor over its lifecycle. The company says the vehicle breaks even against a comparable gasoline model after just 21,500 km when charged with the European energy mix, or 17,500 km when using renewable electricity.
BMW board member Milan Nedeljkovic acknowledged the competitive pressure from lower-priced rivals, particularly from China. “The whole automotive industry is suffering – it’s a very competitive environment,” he said, noting that the European Union has implemented tariffs on Chinese EVs in response to government subsidies.
Measuring 4,782mm long with a 520-liter cargo area (expandable to 1,750 liters with seats folded), the iX3 is slightly larger than its predecessor. A small 58-liter storage compartment under the hood provides additional space.
Australian deliveries are scheduled for mid-2026, with pricing expected to increase from the outgoing model’s $91,000-$104,900 range. European pricing starts at €68,900 (approximately $123,000).
The iX3 is the first of nearly 40 new models and model updates adopting Neue Klasse technologies by 2027, with production beginning at BMW’s new Hungarian factory in autumn 2025 before reaching global markets in 2026.