BMW F-1 engineers shift race from Ferrari to electric vehicles

Bayerische Motoren Werke AG engineer Jochen Schroeder used to spend his days trying to beat Ferrari on the streets of Monte Carlo. Now, he’s chasing Nissan, Chevrolet and Mitsubishi models in the electric-car race.

Schroeder, 39, spent three years developing electronic components for 220 mile-per-hour Formula One cars until BMW’s decade-long engagement in the racing circuit ended last November. BMW dropped out of Formula One to free up resources for electric-car development, redeploying 50 engineers to maintain its lead as the world’s largest maker of luxury autos.

“The technology we’re developing for BMW is pretty similar to Formula One,” Schroeder, who leads a team of engineers developing electric powertrain components, said in a telephone interview. “You just don’t see it every week on TV.”

Chief Executive Officer Norbert Reithofer is pushing an electric-powered car called the Megacity Vehicle to meet emissions regulations. The maker of BMW, Mini, and Rolls-Royce vehicles is building a $100 million factory near Seattle to make carbon fiber, the same material used in Formula One autos, for the frame of the new electric car.

BMW, whose middle name literally means “motors,” is developing the electric engines for the vehicle in-house, as it seeks to hang onto its roots in drivetrain technology even when emphasis shifts away from the combustion engine.

BMW’s ‘Heart’

“The drivetrain is and will remain the heart of an automobile, and this goes for electric vehicles too,” said Klaus Draeger, BMW’s development chief. “And the drivetrain is and will remain a core competence of BMW. That’s why we’re developing the propulsion system for the Megacity Vehicle ourselves.”

Building electric motors in-house may mean more for BMW’s image than the performance of the car, said Alastair Bedwell, an analyst with J.D. Power & Associates in Oxford, England.

Daimler AG, the maker of Mercedes-Benz, is buying motors for the current limited production run of the electric-powered Smart from Zytek Automotive in the U.K. At the same time, it is building electric motors for hybrids at a factory in Berlin. The company will decide later whether to build the motors itself or purchase them, spokesman Matthias Brock said.

“It’s possible to buy the motors from the shelf,” Bedwell said. “There are not likely huge leaps to be made in terms of electric motor development.”

Formula One Team

Including Schroeder, BMW employed over 300 people on its Formula One team. Aside from electric vehicle development, the workers have been redeployed to other areas, including production, purchasing and the motorcycles unit, BMW spokesman Michael Rebstock said.

While Schroeder and his fellow ex-Formula One engineers no longer have the weekly events to showcase their work, the strategic importance of creating electric vehicles has replaced the adrenaline kick of race day, he said.

“After the initial surprise of exiting Formula One, the reception to the new task was very positive,” said Schroeder. “The prospects are very exciting.”

Only four engineers from Schroeder’s 50-person Formula One crew opted to be reassigned to other BMW racing teams, with the rest following him back to the parent company. Most are now developing electric motors, batteries and electronic systems for hybrids and the Megacity, which is due to hit showrooms in 2013.

The systems, similar to technology introduced to the racing circuit in 2009 that allow cars to have 80-horsepower electric motors for added acceleration, provide an extra challenge when built for everyday use.

Cheaper Parts

“In Formula One, you only have two cars and the components only have to last a weekend,” Schroeder said. “For serial production, the components have to be cheaper and last 15 years.”

BMW’s move to redirect Formula One resources comes as Mercedes, the world’s second-largest luxury-car maker, stumbles in its effort to boost the brand’s sportiness by intensifying racing activities. The Stuttgart, Germany-based automaker last year coaxed champion Michael Schumacher out of retirement. The former-Ferrari driver, who won a record seven Formula One championships before quitting in 2006, is now in 10th place.

BMW last November agreed to sell its Formula One team back to founder Peter Sauber after the team’s Nick Heidfeld placed fifth in the season finale. The move was an about-face for BMW after earlier touting the racing circuit’s benefits.

Beating Competition

The team’s best performance under BMW was a second-place finish in 2007 after another team was penalized for possessing confidential Ferrari data. Sauber’s team is currently ranked eighth on the racing circuit.

Schroeder and his colleagues are still looking to beat the competition. Instead of taking on Ferrari on the racing circuit, it’s General Motors Co.’s Chevrolet Volt, Nissan Motor Co.’s Leaf and Mitsubishi Motors Corp.’s i-MiEV on city streets.

“Understanding the tight interplay between motors, batteries and control electronics can help set you apart from the competition,” Schroeder said.