For the first time since the M1 was discontinued in 1981, BMW is about to add another dedicated M model to its portfolio. Debuting September 27, the plug-in hybrid SUV will have a regular production run rather than being a limited series as was the case with the mid-engined coupe of which just 453 units were made. The Concept XM unveiled at the end of November 2021 previewed the boldly styled behemoth, which is the next model to get the company’s newly developed S68 engine.

The twin-turbo 4.4-liter V8 with mild-hybrid tech will work together with an electric motor to deliver a combined output of 650 horsepower in the standard 2023 BMW XM available upon launch. It’s going to carry a steep asking price in Europe of around €170,000 and will be followed at a later date by a more potent derivative XM Label rather than wearing the “Competition” badge. Matching the concept’s output, this beefier 750-hp variant is coming and it’s rumored to cost around 190,000 – 195,000 euros on the Old Continent.

The launch version of this more powerful model will be the XM Label Red and we’ve heard some of these Label-badged models will be special editions with unique color options. There’s no word about the final torque figure, but the Concept XM had a colossal 737 pound-feet (1,000 Newton-meters). The first fully fledged M car with electrification will boast a 25-kWh battery pack with enough energy for a WLTP-certified maximum electric range of 55 miles (88 kilometers).

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The third BMW model to get split headlights after the new 7 Series / i7 and X7 LCI, the XM will ride on standard 22-inch wheels but there will be an option for an even bigger 23-inch set. It’ll largely retain the concept’s striking appearance, right down to the stacked exhaust tips. The kidney grille will be rather massive, but teasers have hinted it won’t be as big as the concept’s.

Assembly of the XM will start before the year’s end at the Spartanburg plant in South Carolina and BMW projects the United States will represent the model’s most important market. There won’t be a pure ICE version as the high-performance SUV will be sold exclusively with a PHEV setup. It is believed an entry-level model with an inline-six engine and an electric motor will follow later in the life cycle.

The XM won’t be the end of BMW’s busy schedule for 2022 as far as product launches since the M2 G87 will debut on October 12. We’ll also see the hotly anticipated 3.0 CSL revival to properly celebrate 50 years of the M division.