Bayerische Motoren Werke AG (
pronunciation (help·info); English: Bavarian Motor Works), commonly known asBMW or BMW AG, is a German automobile, motorcycle and engine manufacturing company founded in 1916. BMW isheadquartered in Munich, Bavaria, Germany. It also owns and produces Mini cars, and is the parent company of Rolls-Royce Motor Cars. BMW produces motorcycles under BMW Motorrad, and plug-in electric cars under the BMW i sub-brand. BMW is one of the best-selling luxury automakers in the world
History

BMW was established as a business
entity following a restructuring of the
Rapp Motorenwerke aircraft manufacturing firm in 1917. After the end of World War I in 1918, BMW was forced to cease aircraft-engine production by the terms of the Versailles Armistice Treaty.[4] The company consequently shifted to motorcycle production as the restrictions of the treaty started to be lifted in 1923,[5] followed by automobiles in 1928–29.[6][7][8]
The first car which BMW successfully produced and the car which launched BMW on the road to automobile production was the
Dixi, it was based on the
Austin 7 and licensed from the
Austin Motor Company in Birmingham, England.
BMW's first significant aircraft engine (and commercial product of any sort) was the
BMW IIIa inline-six liquid-cooled engine of 1918, much preferred for its high-altitude performance.
[9] With German rearmament in the 1930s, the company again began producing aircraft engines for the
Luftwaffe. Among its successful World War II engine designs were the
BMW 132and
BMW 801 air-cooled
radial engines, and the pioneering
BMW 003 axial-flow turbojet, which powered the tiny, 1944–1945–era jet-powered "emergency fighter", the
Heinkel He 162 Spatz. The BMW 003 jet engine was first tested as a prime powerplant in the first prototype of the
Messerschmitt Me 262, the Me 262 V1, but in 1942 tests the BMW prototype engines failed on takeoff with only the standby
Junkers Jumo 210 nose-mounted piston engine powering it to a safe landing.
[10][11]The few Me 262 A-1b test examples built used the more developed version of the 003 jet, recording an official top speed of 800 km/h (497 mph). The first-ever four-jet aircraft ever flown, the sixth and eighth prototypes of the
Arado Ar 234 jet reconnaissance-bomber, used BMW 003 jets for power. The improving reliability of the 003 as 1944 progressed, earmarked it as the required powerplant for airframe designs competing for the
Jägernotprogramm's
light fighter production contract, won by the
Heinkel He 162 Spatz design. The BMW 003 aviation turbojet also found itself under consideration as the basic starting point for a pioneering
turboshaft powerplant for German armored fighting vehicles in 1944–45, as the
GT 101.
[12]Towards the end of the Third Reich BMW developed some military aircraft projects for the
Luftwaffe, the
BMW Strahlbomber, the
BMW Schnellbomber and the
BMW Strahljäger, but none of them were built.
[13][14]
By the year 1958, the automotive division of BMW was in financial difficulties and a shareholders meeting was held to decide whether to go into liquidation or find a way of carrying on. It was decided to carry on and to try to cash in on the current economy car boom enjoyed so successfully by some of Germany's ex-aircraft manufacturers such as
Messerschmitt and
Heinkel. The rights to manufacture the Italian
Iso Isetta were bought; the tiny cars themselves were to be powered by a modified form of BMW's own motorcycle engine. This was moderately successful and helped the company get back on its feet. The controlling majority shareholder of the BMW
Aktiengesellschaft since 1959 is the Quandt family, which owns about 46% of the stock. The rest is in
public float.
BMW acquired the
Hans Glas company based in
Dingolfing, Germany, in 1966. Glas vehicles were briefly badged as BMW until the company was fully absorbed. It was reputed that the acquisition was mainly to gain access to Glas' development of the timing belt with an overhead camshaft in automotive applications,
[15] although some saw Glas' Dingolfing plant as another incentive. However, this factory was outmoded and BMW's biggest immediate gain was, according to themselves, a stock of highly qualified engineers and other personnel.
[16] The Glas factories continued to build a limited number of their existing models, while adding the manufacture of BMW front and rear axles until they could be closer incorporated into BMW.
[17]
In 1992, BMW acquired a large stake in California based
industrial design studio
DesignworksUSA, which they fully acquired in 1995. In 1994, BMW bought the British
Rover Group[18] (which at the time consisted of the
Rover,
Land Rover and
MGbrands as well as the rights to defunct brands including
Austin and
Morris), and owned it for six years. By 2000, Rover was incurring huge losses and BMW decided to sell the combine. The MG and Rover brands were sold to the Phoenix Consortium to form
MG Rover, while Land Rover was taken over by
Ford. BMW, meanwhile, retained the rights to build the new
Mini, which was launched in 2001.
Chief designer
Chris Bangle announced his departure from BMW in February 2009, after serving on the design team for nearly seventeen years.
[19] He was replaced by
Adrian van Hooydonk, Bangle's former right-hand man. Bangle was known for his radical designs such as the 2002 7-Series and the 2002 Z4. In July 2007, the production rights for
Husqvarna Motorcycles was purchased by BMW for a reported 93 million euros.
BMW Motorrad plans to continue operating Husqvarna Motorcycles as a separate enterprise. All development, sales and production activities, as well as the current workforce, have remained in place at its present location at Varese.
In June 2012, BMW was listed as the #1 most reputable company in the world by Forbes.com.
[20] Rankings are based upon aspects such as "people's willingness to buy, recommend, work for, and invest in a company is driven 60% by their perceptions of the company and only 40% by their perceptions of their products."