German Car Zone

Skyrocketing petrol prices and concerns over the state of the environment have previously driven BMW to focus on hydrogen power. However that focus is not so narrow as to exclude petrol-electric hybrids, or even all-electric vehicles. In fact, BMW is currently weighing its options for introducing an electric vehicle for the U.S. market in response to the new CAFE regulations.

The German maker had not previously concerned itself with the regulations as much as will have to in the future: by 2012 BMW will be classed as a ‘large vehicle manufacturer’ and will therefore be required to offer at least one model that emits no carbon dioxide. BMW’s Norbert Reithofer spoke with Auto Motor und Sport about the upcoming vehicle, hinting it could initially be an all-electric urban mini-car, “but we have asked ourselves if we should develop the basic concept for something other than an electric car.” This last tidbit brings us full circle to BMW’s investment in hydrogen power. But now we have an avenue between the present and the hydrogen-powered future that wasn’t previously illuminated.

Because the infrastructure for a hydrogen-based transport system is still quite a long way off, a sort of cross-over platform, in the shape of a legally requisite all-electric vehicle could provide the bridge between petrol-electric hybrids and fuel-cell vehicles. In the process, BMW will have to decide whether it will manufacture the car alone or with a partner - perhaps some similarly positioned large vehicle manufacturer, reports the Turkish Press.

The news of the unsuccessful termination of long-standing and rather cloaked talks with Mercedes just this week likely signal that Daimler will not be working with BMW on the project. BMW boss Reithofer nevertheless remains hopeful for some kind of partner, saying “Our goal is a cooperation but if it does not work out, we will do it alone. We will make a decision this year.”

Reports of BMW’s work on an all-electric car have been surfacing quite often recently, as has talk of a new mini-car brand. Taken with this new information, it seems likely both will be coming, with the new all-electric being the pilot vehicle for the new brand, aimed at big cities. Audi is also in the process of building a production version of the A1 Metroproject originally shown in Tokyo last year, and BMW’s rumored minicar has been tipped as a primary competitor.


Motor Authority BMW looking for partner to build electric car for the US

why not partner with tesla ?

^^
I believe Tesla is already in happy matrimony with Lotus. The guys behind the G-Wiz probably wouldn't mind pairing up with BMW.

BMW to decide on electric car this year

Since the release of its official strategy in September last year, media sources around the world have been speculating that BMW is looking at either launching its own new brand or acquiring one to help its expansion. CEO Norbert Reithofer previously revealed BMW would establish a new environmental think-tank dubbed ‘Project i’ to develop new eco-friendly models. Now, the carmaker’s board member for corporate and brand development, Friedrich Eichener, has told reporters a decision on a BMW electric vehicle would be made this year.

With the number of cities with ten million or more people set to rise in the near future, Eichiner explained to Automotive News that electric cars could be a good solution to meeting short-distance transportation requirements in urban areas.
Currently, BMW is researching several types of alternative fuels, most notably its hydrogen powered 7-series limo that managed to actually clean air going through the car. But with a lack of infrastructure for hydrogen fuel, simpler alternatives such as electric vehicles and biofuel usage are more likely to appeal to a mass market.
While a zero-emissions vehicle from BMW is still on the drawing board, BMW will be offering an ultra-clean 3-series model that should have emissions of less than 120g/km CO2 and will get a 100% refund on the London congestion charge.
BMW has been reluctant to adopt any one strategy in the race for lower emissions, with the manufacturer from Munich often adopting a wait-and-see attitude, as it did with HCCI technology. Whether or not BMW eventually does create an electric vehicle, the brand will have to bring in new technology to keep emissions down in line with toughening emissions laws in various regions around the globe.
motorauthority

BMW should buy Lotus and Tesla. Simple as that.