In the 1950s, BMW was in trouble, with an aging lineup and finances that were deep in the red. The company responded to this crisis by designing an all-new line of cars with fresh styling and new engines that it dubbed the “Neue Klasse.” Designed to appeal to a broader audience of modern drivers, the Neue Klasse was an instant hit that turned the company around and laid the groundwork for its current dominance of the luxury vehicle market.
Today, BMW is in an entirely different place, but it has recognized that the automotive industry is changing rapidly and is attempting to stay ahead of the curve and recapture the spirit of the original Neue Klasse with a neue Neue Klasse. The first member of the fresh lineup is the all-new 2026 iX3—an all-electric compact luxury SUV built from the ground up for the modern world. But does it have what it takes to secure the brand’s future for the next 60 years?
A Fresh Foundation
Unlike many other luxury brands, BMW’s approach to electric vehicles has so far been extremely conservative. Rather than committing to a full slate of all-new EVs, the Bavarians have instead decided to offer electric versions of their most popular gasoline models, such as the BMW i4, i5, and i7. This more cautious approach has paid off, and BMW is currently the undisputed leader of the luxury EV segment, with a larger market share than Audi, Mercedes, and Porsche combined.
However, putting electric motors into platforms designed for gasoline engines is not a long-term solution, and BMW has decided it’s time to invest in a new EV platform for the Neue Klasse. The results are quite impressive. Compared to its existing models, the new platform with its integrated battery and next-gen motors cuts weight by 10% and energy losses by 40%, while increasing cell energy density by 20% and charging speed by 30%. Plus, it comes with a Tesla-style NACS port for convenient charging.
In real-world terms, that means an estimated 400 miles of range and a 10-80% recharge time of 21 minutes. Plus, it wouldn’t be a BMW if it weren’t fast, and the 2026 iX3 will launch with 463 hp and 476 lb-ft of torque from a rear-biased dual-motor powertrain. That’s enough for a 4.7-second zero-60 mph time, putting the iX3 50 xDrive on par with the current X3 M50 xDrive. That alone is enough to make the iX3 a significant step forward, but it’s just the start.
A Tech-First Approach
Startup EV brands like Tesla and Rivian have been making waves in the car world by showing that modern technology can be more than an afterthought in a car. BMW is following that same approach with the Neue Klasse, and the 2026 iX3 is a true “software-defined” vehicle.
This starts behind the scenes, with a new zonal electronics architecture commanded by four “superbrains” for vehicle functions and a central water-cooled supercomputer for autonomous driving replacing the traditional distributed electronic architecture. BMW has termed this system the “Heart of Joy” and claims that it can process information 10 times faster than traditional automotive electronics, providing faster control inputs for a more seamless driving experience.
A more concrete example of how BMW has reimagined technology is the driver interface. Gone are the conventional instrument and infotainment displays. Instead, the iX3 has the new Panoramic iDrive system, which includes an avant garde 17.9-inch zig-zag infotainment touchscreen and a pillar-to-pillar Panoramic Vision display at the base of the windshield for your instrument panel and up to six personalizable widgets. There’s also an available 3D HUD for even more information, and it’s all running the new AI-enhanced BMW Operating System X.
Forging Ahead
While the original Neue Klasse was a radical departure for a struggling brand, the 2026 iX3 is more of a reimagining of what’s already working for a best-selling brand. BMW has done a remarkable job when it comes to the behind-the-scenes engineering, adopting practices that put it on the cutting edge of automotive design. However, for the average driver, the iX3 is more of an evolution of BMW’s current products than something new.
The neo-retro design language stands out, but is a continuation of BMW’s preference for controversial styling, and while the interior tech is certainly fresh, it represents a continuation of where the brand has been heading for some years now. But none of that is a bad thing. If you like what BMW has been doing with its modern vehicles and simply want a luxury EV with more range and some new features, then the 2026 iX3 should be right up your alley—and given BMW’s sales dominance, that’s exactly what a lot of drivers are looking for.