Other models include the M3 coupe and convertible; the X3 and X5 sport utilities; and the Z4 roadster. In addition to its BMW automobiles, the company's operations include motorcycles (K 1200 GT, R 1200 CL, and R 1150 R models, among others), the MINI automotive brand, Rolls-Royce Motor Cars, and software (softlab GmbH). BMW's motorcycle division also offers a line of motorcycling apparel such as leather suits, gloves, and boots.
BMW was founded by Karl Friedrich Rapp in October 1913, originally as an aircraft engine manufacturer, Bayerische Flugzeug-Werke. The Milbertshofen district of Munich location was chosen because it was close to the Gustav Otto Flugmaschinenfabrik site, a German aircraft manufacturer. The blue-and-white circular logo BMW still uses (illustrated above right) is a stylized spinning aircraft propeller, and dates from this period in the company's history. The design also alludes to the blue and white checkered flag of Bavaria.
In 1916 the company secured a contract to build V12 engines for Austria-Hungary. Needing extra financing, Rapp gained the support of Camillo Castiglioni and Max Friz, the company was reconstituted as the Bayerische Motoren Werke GmbH. Over-expansion caused difficulties; Rapp left and the company was taken over by the Austrian industrialist Franz Josef Popp in 1917, and named BMW AG in 1918.
After World War I, the Treaty of Versailles (1919) prohibited the production of aircraft in Germany. Otto closed his factory and BMW switched to manufacturing railway brakes.
In 1927 the tiny Dixi, an Austin Seven produced under licence, began production in Eisenach. BMW bought the company the following year, and this became the company's first car, the BMW 3/15. By 1933 BMW were producing cars that could be called truly theirs, offering steadily more advanced inline 6-cylinder sports and saloon cars. The pre-war cars culminated in the beautiful 327 saloon and 328 roadster, fast 2-litre cars, both very advanced for their time.
In 1952, BMW produced its first passenger car since the war, but its attempts to get into the premium sector were not commercially successful; models such as the acclaimed BMW 507 were too expensive to build profitably and were low volume. By the late 1950s, it was making bubble cars such as the Isetta. In 1959 BMW's management suggested selling the whole concern to Daimler-Benz. Major shareholder, Herbert Quandt was close to agreeing such a deal, but changed his mind at the last minute because of opposition from the workforce and trade unions and advice from the board chairman, Kurt Golda. Instead Quandt increased his share in BMW to 50% against the advice of his bankers, and he was instrumental in turning the company around.
That same year, BMW launched the 700, a small car with an air-cooled, rear-mounted 697 cubic cm boxer engine from the R67 motorcycle. Its bodywork was designed by Giovanni Michelotti and the 2+2 model had a sporty look. There was also a more powerful RS model for racing. Competition successes in the 700 began to secure BMW's reputation for sports sedans.
At the Frankfurt show in 1961, BMW launched the 1500, a powerful compact sedan, with front disc brakes and four-wheel independent suspension. This modern specification further cemented BMW's reputation for sporting cars. It was the first BMW to officially feature the "Hofmeister kink", the rear window line that has been the hallmark of all BMWs since then.
The "New Class" 1500 was developed into 1600 and 1800 models. In 1966, the two-door version of the 1600 was launched, along with a convertible in 1967. These models were called the '02' series—the 2002 being the most famous—and began the bloodline that later developed into the BMW 3 Series.
In 1968, BMW launched its large "New Six" sedans, the 2500, 2800, and American Bavaria, and coup�s, the 2.5 CS and 2800 CS.
By the 1970s, BMW was commercially successful and in December 1971, moved in to its present HQ in Munich, architecturally modelled after four cylinders.
In 1972, the 5 Series was launched to replace the New Class sedans, with a body styled by Marcello Gandini. The New Class coupes were replaced by the 3 Series in 1975, and the New Six became the 7 Series in 1977. Thus the three-tier sports sedan range was formed, and BMW essentially followed this formula into the 1990s. Other cars, like the 6 Series coup�s that replaced the CS and the M1, were also added to the mix as the market demanded.
The current BMW model line-up is split into what they call "Series", traditionally identified by a single digit - e.g. the 3 Series.
In 2004 BMW announced plans to make odd-numbered models sedans and estates or wagons (BMW calls its estates/wagons Touring models), while even-numbered models will be two-door coupes and cabriolets. This convention started informally in 1976 with the introduction of the 6 Series and later continued in 1989 with the 8 Series, but died off when the latter was discontinued in 1999. This practice was revived as the Z4 replaced the aging Z3 roadster in 2003 and continues as the new 6 Series augments the existing BMW 5 Series.
Coupe versions of the 3 Series sedans have always been named 3 Series vehicles, as well. The company had considered renaming future 2-door derivatives of the 3 Series as 4 Series cars, but this plan has reportedly been shelved.
The 1995 BMW 3 Series CompactThe M letter was used prior to the shift to Series-named cars to designate special "Motorsport" models, beginning with the M1 supercar. Later the M letter was used as a prefix to top-of-the-range models which had received special treatment by the BMW Motorsport division. The first such car was the M535i of 1979. As these models started gaining popularity the Motorsport division was split into a separate company. BMW M GmbH now makes sporty models based on the production cars with very extensive chassis and engine upgrades. The M3 and M5 are based respectively on the 3 and 5 Series and are recognised by enthusiasts all over the world as truly excellent sports cars while retaining the practicality of the models they extend.
With the advent of the SUV, BMW also added the X5 - and in 2004 the X3 - to their model range to capitalise on this growing market. BMW calls its SUV models Sports Activity Vehicles. A possible future V Series will offer MPV practicality for large families, similar to the Renault Scenic.
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