Report: BMW to Spend Record Amount, Increase Focus on EVs

March 27, 2018—According to a recent report by CNBC, BMW Group plans to spend nearly $8.6 billion in research and development in 2018, establishing a new record for the manufacturer.

The German OEM is set to unveil 20 new models this year.

BMW Group, which manufactures not just BMWs but also Rolls-Royce and Mini-branded vehicles, aims in 2018 to ramp up its presence in electric and autonomous vehicles. In its annual report, released last week, the BMW Group said the R&D ratio would likely be between 6.5 and 7 percent of sales in 2018, above the usual range of 5–5.5 percent.

The OEM has also announced that it expected group pre-tax profit to surpass 10 billion euros for the year. The company has set up a development campus near Munich devoted to the development of autonomous driving, and at least 100 million euros is expected to be spent on battery-cell research.

The firm is expected to present multiple pure-electric concept vehicles later this year.