Report About BMW’s i5 As A Potential Rival To Tesla’s Model S

German magazine AutoBild is reporting the much-discussed BMW i5 will be a plug-in hybrid sport sedan that can run for the majority of the time on electric power only. The report indicates that the i5 could be ready by 2018, which is two years ahead of some previous rumors for its release in 2020. Either way, it’s expected the new offering will fill the gap between the i3 battery-electric small hatchback and the i8 plug-in hybrid sports coupe, and may be poised to compete with Tesla’s Model S.

AutoBild describes the i5 as a unique body and powertrain using some of the underpinnings of the next BMW 5-Series sport sedan. However, it’s important to note the crucial feature the i5 will use the Power eDrive second-generation plug-in hybrid system that the company demonstrated at its Technology Days last year.

This system radically changes the idea of a plug-in hybrid. Standard plug-in hybrids use a gas engine that gets assistance from electric motors, which also provide 12 to 25 miles of all-electric range under low to average power demand. However, the Power eDrive system offers a great deal more in electric-only driving capabilities, allowing for up to 50 miles of driving with the gas engine only being used under maximum acceleration and at highway speeds. The BMW i5 is reported to only switch on its engine under maximum power demand above 35 miles per hour. Below that speed, it runs as electric-only. BMW executives called Power eDrive “the next stage of vehicle electrification” during the company’s demonstration of the technology.

According to AutoBild, the i5 will combine a 218 horsepower gas engine with two electric motors. The motor at the front will be approximately 150 horsepower and the second motor at the rear will be 272 horsepower. The combined effort of all three motors working together will be 640 horsepower, which is only 51 less than the mighty Tesla Model S. However, while the Model S can travel for over 250 miles on just electricity, the i5 will be limited to about 78 miles of electric-only range per charge.

But can a plug-in hybrid truly compete with an all-electric car?

Although there are certainly some buyers who only want an all-electric car, there may be many more who want a car with electric capabilities but still want to be able to rely on gasoline when necessary. Both Tesla and BMW build luxury cars, so in some ways they are competing for the same buyers, although BMW builds luxury cars across a much wider range of models and drivetrains than Tesla. If the i5 is able to operate completely in electric mode under 35 miles per hour, it’s a step toward greater electrification for BMW.

Certainly, BMW isn’t alone in its pursuit to compete with Tesla, and it’s said by some that Mercedes-Benz, Porsche and Audi are all working on Model S rivals of their own. For the i5, AutoBild wrote that BMW will be targeting 30,000 units per year at a price in the low six figures.

Will the BMW i5 truly be able to create serious competition for Tesla? We’ll have to wait until at least 2018 to be sure!