BMW has officially confirmed the M350 xDrive, a new range-topping 3 Series performance sedan producing 437 horsepower and offering a driver-operated switch that sends all of that power to the rear wheels alone, according to the company’s own press release.

Key Points

• The M350 is powered by a 3.0-liter turbocharged inline-six with 48-volt mild-hybrid assistance, producing 437 hp (443 PS) and 428 lb-ft (580 Nm) of torque, according to BMW’s official press release.
• BMW rates the car at 4.1 seconds from 0-62 mph with a top speed of 155 mph, an improvement of roughly 55 horsepower and 44 lb-ft over the outgoing M340i, according to Hagerty.
• A new feature called Drift Moment lets the driver electronically close off the front axle of the standard xDrive all-wheel-drive system, sending all engine output to the rear wheels only, per BMW’s press release.
• The M350 launches in the second half of 2026 without Drift Moment; the feature follows in 2027 as a free over-the-air software update for all owners, including those who take delivery before it rolls out, according to BMW’s press release.
• BMW’s Senior Vice President of Driving Experience Development, Dr. Mihiar Ayoubi, said the 3 Series “has set standards for driving dynamics for several” generations, per the company’s official statement.

A Switch, Not Just A Setting

Drift Moment is not simply a stability-control mode. BMW’s press release describes the system as electronically disengaging the front-axle side of the xDrive multi-disc clutch, converting the car from all-wheel drive to genuine rear-wheel drive on demand, with drivers activating it through the central display. BMW notes a tradeoff: with the Dynamic Stability Control system off, the car adds roughly 20 milliseconds of extra front-axle response time to reduce drag and sharpen the rear-drive feel once Drift Moment is engaged.

Why It Reads As A Sleeper

On paper, the M350 sits below the full-fat M3 in BMW’s lineup, wearing 3 Series badging rather than the M brand’s most aggressive styling cues. But the combination of a 437-hp straight-six, sub-4.2-second acceleration and a driver-selectable rear-drive mode puts it within reach of cars carrying far more aggressive badges. The M350 name itself replaces the M340i designation BMW had used for the previous top-spec 3 Series, signaling a closer tie to the M performance sub-brand than before, according to BMW’s press release.

Final testing wrapped at BMW’s proving grounds in Miramas, France, following earlier cold-weather validation at the automaker’s Arjeplog winter facility and laps at the Nürburgring, according to BMW’s press release. BMW says Drift Moment will roll out to the M350 in three separate stages during 2027 rather than all at once, though it has not detailed what distinguishes each stage. Pricing has not yet been announced, and BMW has not said whether the drift function will also reach other M Performance xDrive models beyond the 3 Series.