In the spring of 1978, at the Paris Motor Show, BMW unveiled something the world had never seen from Munich: a low-slung, mid-engined, wedge-shaped supercar wearing the kidney grilles of a company famous for saloons and sports coupés. The BMW M1 was a machine of contradictions — conceived to go racing, born of one of the most tangled industrial collaborations in motorsport history, and destined to fight the wrong battles at the wrong time. Yet from that turbulence emerged one of the purest, most revered cars the brand has ever produced.
The M1 was the first — and for decades the only — road car engineered from the ground up by BMW Motorsport GmbH, the fledgling division founded just six years earlier. It was not a modified 3 Series or a hotted-up coupé. It was a bespoke supercar with a tubular spaceframe, a race-derived twin-cam straight-six, and bodywork penned by Giorgetto Giugiaro at the peak of his folded-paper genius. It should have dominated Group 4 and Group 5 sports car racing. Instead, homologation delays and a shifting rulebook nearly killed it — until Formula 1 boss Bernie Ecclestone and BMW motorsport chief Jochen Neerpasch devised one of the most extraordinary support series ever conceived: Procar.
Only 456 examples of the M1 were ever built, making it among the rarest cars BMW has produced. But its significance vastly outweighs its production run. The M1 established the M badge as a symbol of uncompromising engineering, gave rise to the legendary M88 engine, and set a template of mid-engined ambition that BMW would not seriously revisit until the i8 and, arguably, would only fully honour again in spirit decades later. This is the story of how BMW built its first supercar — and why it still matters.
The Historical Context: Motorsport Ambition Meets a Racing Rulebook
By the mid-1970s, BMW had transformed itself from a company nearly bankrupt in the late 1950s into one of Europe's most respected performance manufacturers. The Neue Klasse had saved the company financially, the 2002 had proven BMW could build a giant-killing sports sedan, and in 1972 the creation of BMW Motorsport GmbH gave the marque a dedicated competition arm. The 3.0 CSL "Batmobile" had dominated the European Touring Car Championship, but by 1975 BMW's front-engined coupés were increasingly outgunned by purpose-built rivals — above all the mid-engined Porsche 911 derivatives that ruled sports car racing.
Jochen Neerpasch, the ambitious head of BMW Motorsport, understood that to beat Porsche in Group 4 and Group 5, BMW needed a mid-engined weapon of its own. But the FIA's homologation rules of the era required that 400 road-going examples be built within a 24-month period to qualify a car for Group 4. BMW had never mass-produced a mid-engined car, and had neither the tooling nor the spare capacity to do so. The solution was to be a collaboration — and it was here that the M1's troubled gestation began.
The Lamborghini Debacle
BMW turned to Lamborghini to engineer the chassis and assemble the cars. The Italian firm had unrivalled expertise in mid-engined supercars — the Miura and Countach were proof — and a contract was signed in 1976. Lamborghini engineer Gian Paolo Dallara laid out the tubular steel spaceframe, and the project moved forward. But Lamborghini was in severe financial distress, teetering toward bankruptcy, and by early 1978 it became clear the company could not deliver. BMW terminated the contract and scrambled to rescue the program.
The eventual production process was a pan-European patchwork of remarkable complexity. Marchesi in Modena built the tubular spaceframes. Italdesign, Giugiaro's studio, produced the fibreglass-reinforced plastic body panels and handled bodywork fitment. TIR assembled the interiors. Complete rolling bodies were then trucked to Baur in Stuttgart, the coachbuilder famous for its BMW convertibles, where the M88 engine and running gear were installed. Final inspection and quality control were carried out by BMW Motorsport in Munich. Each car passed through multiple countries and multiple companies before it was complete — a logistical feat that helps explain both the M1's rarity and its cost.
The Machine: E26 Chassis and the Legendary M88 Engine
What emerged from this chaos was, mechanically, a masterpiece. The M1 married Italian chassis and design flair with German engineering precision, and at its heart sat one of the most important engines BMW has ever built.

The M88 Straight-Six
The M1's engine was the M88 — a 3,453 cc inline-six derived conceptually from the M49 racing unit of the 3.0 CSL, but a fundamentally new design. It featured a cast-iron block, an aluminium cylinder head with double overhead camshafts and four valves per cylinder, and Kugelfischer-Bosch mechanical fuel injection. In road-going trim it produced roughly 277 PS (around 273 hp) at 6,500 rpm and 330 Nm of torque, with a redline that made it feel eager and race-bred. Twenty-four valves, chain-driven twin cams, and a purposeful mechanical howl — the M88 was BMW's finest six of its era.
The engine's importance extends far beyond the M1. A detuned, catalyst-friendly evolution known as the S38 would go on to power the legendary E28 and E34 M5, while the M88/3 found its way into the M635CSi and the European M5. In many respects, the M88 established the DNA of the high-revving, naturally aspirated BMW M straight-six — a lineage of technology that would later be transformed by innovations such as VANOS variable valve timing. You can trace the full family tree of these engines in the BMW DNA encyclopedia.
Chassis, Body and Design
The M1 rode on a tubular steel spaceframe with independent double-wishbone suspension at all four corners, coil springs, and rack-and-pinion steering — race-car architecture wrapped in a road-legal package. Ventilated disc brakes at every wheel and a five-speed ZF transaxle mounted behind the engine completed the mechanical layout. The mid-engined configuration gave the M1 near-ideal weight distribution and the poised, planted handling that front-engined BMWs could never match.
Giorgetto Giugiaro's design was a study in restrained aggression. Where the Countach was flamboyant, the M1 was tautly disciplined — a clean wedge with pop-up headlights, a subtle rear spoiler, and twin BMW roundels flanking a shallow kidney grille. The louvred engine cover and the double roundels became instantly iconic. Giugiaro reportedly incorporated design cues from BMW's earlier Turbo concept car of 1972, itself penned by Paul Bracq. The result was a shape that has aged with extraordinary grace — arguably one of the most beautiful cars of its decade.
Specifications at a Glance
| Specification | BMW M1 (E26) Road Car |
|---|---|
| Production years | 1978–1981 |
| Units built | 456 (approx., all variants) |
| Engine | M88 3.5L DOHC inline-6, 24 valves |
| Displacement | 3,453 cc |
| Power | ~277 PS @ 6,500 rpm |
| Torque | ~330 Nm @ 5,000 rpm |
| Transmission | ZF 5-speed manual transaxle |
| Layout | Mid-engine, rear-wheel drive |
| 0–100 km/h | ~5.6 seconds |
| Top speed | ~262 km/h (162 mph) |
Motorsport and Cultural Impact: The Procar Legend
Here lies the cruel irony of the M1. By the time the required 400 road cars had finally been built to satisfy homologation — a process delayed by the Lamborghini collapse — the FIA had changed its regulations. The Group 4 and Group 5 categories the M1 was designed to contest were being phased out in favour of the new Group B and Group C formulas. BMW had built a superb racing car for a class that was disappearing.
Rather than let the M1 languish, Neerpasch and Bernie Ecclestone conceived an audacious solution: the BMW M1 Procar Championship. Running in 1979 and 1980 as a support series to selected European Formula 1 Grands Prix, Procar pitted identically prepared M1 race cars — producing around 470 PS from the M88 — against one another. Crucially, the five fastest F1 drivers from Friday qualifying were guaranteed seats, meaning the world's greatest drivers raced wheel-to-wheel in identical BMW supercars in front of the F1 crowds.

The spectacle was electric. Niki Lauda won the inaugural 1979 championship; Nelson Piquet took the 1980 title. Names like Clay Regazzoni, Jacques Laffite, and Hans-Joachim Stuck traded paint in a way modern F1 rarely permitted. Procar turned the M1 from a homologation orphan into a bona fide legend — a car that had genuinely raced the finest drivers on Earth on level terms. The most famous of all Procar machines was the Andy Warhol "Art Car" M1, hand-painted by the artist himself in 1979 — one of the most celebrated entries in BMW's Art Car collection.
The M1 also competed at Le Mans and in the Group 5 "silhouette" category, where a heavily reworked, turbocharged variant produced by BMW and its partners chased outright performance. While it never achieved the dominant sports car success Neerpasch had originally envisaged, the M1's competition record and, above all, the Procar spectacle cemented its place in motorsport folklore.
The Legacy: How the M1 Echoes in Today's BMWs
Commercially, the M1 was not a success. It arrived expensive, complicated, and late, and BMW ceased production in 1981 after just 456 cars. Neerpasch left BMW during the project's turmoil. For decades afterward, BMW resisted building another mid-engined road car — the financial and industrial lessons of the M1 had been painfully learned.
Yet the M1's true legacy is immense. It gave BMW Motorsport GmbH its first standalone road car and, in doing so, defined what the M badge would come to mean: engineering without compromise, motorsport DNA translated to the road. The M88 engine sired the S38 that powered the first M5 generations, establishing the template of the high-revving, naturally aspirated M straight-six that would culminate in engines like the S54 before the era of forced induction and, eventually, the S58.
The M1 also proved BMW could build a genuine world-class supercar, a confidence that echoed decades later in the i8 — BMW's next true mid-engined halo car, and one that consciously invoked the M1's spirit of technological ambition. Even today, as the marque enters a new era with the Neue Klasse platform, the M1 stands as a reminder of what happens when BMW dares to build something entirely its own. For collectors, the M1 has become one of the most sought-after and valuable BMWs of all time, its once-troubled commercial story now recast as the origin myth of BMW M.
Its rarity, its Giugiaro lines, its glorious M88 howl, and the sheer romance of Procar have made the M1 the definitive answer to the question: what was BMW's first supercar? For enthusiasts fascinated by how M-division engineering evolved — from the manual purity celebrated in our feature on the future of manual BMW M cars to the electrified halo of the modern era — the M1 remains the point where it all became serious. It was the moment BMW Motorsport stopped modifying road cars and started building legends from scratch.