BMW has announced a major restructuring plan centered on the integration of artificial intelligence across its development, purchasing, production, and aftersales divisions. The company aims to leverage agentic AI to streamline operations, accelerate decision-making, and improve overall efficiency. CFO Walter Mertl highlighted that these software tools will eventually provide end-to-end support throughout the vehicle development process.
The strategy includes a 20 percent reduction in management roles and organizational levels, with the process scheduled for completion by mid-2027. This initiative is distinct from an existing voluntary redundancy program in Germany, which could impact approximately 8,000 positions. An agreement regarding job losses related to the AI transition was reached with the Works Council in July.
As part of the effort to simplify its portfolio, BMW will reduce the number of available model variants. The company confirmed that the 2 Series Active Tourer will not receive a successor. By narrowing the model lineup, BMW intends to reduce the complexity of engineering tasks, thereby freeing up resources for AI-driven processes and new product launches.
The company is reallocating resources toward future projects, including a compact entry-level electric vehicle for the European market. This model is slated for release in 2028 as part of the Neue Klasse rollout. While the 2 Series Active Tourer is the only model explicitly named for discontinuation, the brand is evaluating other nameplates based on their market value to further streamline its offerings.
