BMW to Develop Own Microcar Based on MINI Cooper

Not content with owning the Mini Cooper brand, BMW is reportedly working on a microcar that will bear the blue and white emblem that we’ve come to associate with Bavarian MotorWerks (that’s what BMW stands for, in case you didn’t know).

According to Motor Authority, this microcar will be based on the same platform that underpins the existing Mini Cooper and the entry-level vehicle will compete directly against the other small-in-stature cars like the Volkswagen Rabbit. If these reports are true, the new budget-minded Bimmer could hit dealerships as early as 2010, if not earlier.

Other premium German carmakers are also moving into this segment with the possible release of the Audi A1 and the Mercedes-Benz A-Class in North America. BMW is just trying to cover its bases, even if it means that they have to cannibalize some Cooper sales.