BMW introduced the M240i nameplate for the 2017 model year as the successor to the M235i in the 2 Series range. It debuted on the refreshed first-generation 2 Series Coupe and Convertible as BMW’s M Performance six-cylinder variant, positioned above the four-cylinder models and marketed for buyers who wanted a compact BMW with stronger performance credentials without stepping up to a full M car. In BMW’s own naming updates, the new 40i badge replaced the earlier 35i designation, reflecting the new engine family used in the M240i.
For the first generation, the M240i was offered in Coupe and Convertible forms, including xDrive versions in some markets, and it became the highest-performance regular 2 Series variant before the arrival of the M2. That original run continued through the end of the F22/F23 2 Series era.
BMW then carried the M240i name into the second-generation 2 Series Coupe, launched for the 2022 model year. In this newer generation, BMW positioned the M240i xDrive as the range’s performance flagship ahead of the M2, keeping the nameplate tied to the compact rear-drive-based coupe formula while updating the body, chassis, and packaging for a new era. As a result, M240i is best understood as a continuing BMW performance nameplate within the 2 Series family, rather than a one-off model or a discontinued badge.