BMW's X1 compact crossover has been redesigned for 2023, and our latest spy shots and video show a prototype for a new performance flagship that's still in the works.

The 2023 X1 currently tops out at 241 hp in internal-combustion guise and 308 hp in electric iX1 form.

This new performance flagship, which we expect to be badged an X1 M35i, should pack even more power.

Other BMW compacts like the 1-Series and 2-Series Gran Coupe already offer M35i variants so it isn't that surprising to see BMW preparing one for its new X1.

Those other M35i models all feature 2.0-liter turbo-4 engines rated at 301 hp, and this same engine should feature in the X1 M35i. However, count on something closer to 340 hp in the X1 M35i to give it the edge over the rival GLA 35 and GLB 35 from Mercedes-Benz AMG, both of which offer 302 hp.

Forming the rest of the X1 M35i's drivetrain should be an 8-speed automatic and all-wheel-drive system.

2023 BMW X1 M35i spy shots - Photo credit: S. Baldauf/SB-Medien

2023 BMW X1 M35i spy shots - Photo credit: S. Baldauf/SB-Medien

Note, this isn't a dedicated M car, despite there being quad-exhaust tips on the tester. The M35i falls under BMW's M Performance range, which is a step below the true M range. They offer decent poke with sport-tuned suspension, and strike a good compromise between comfort and performance.

The platform underpinning the new X1 is BMW Group's latest front-wheel-drive architecture designed for compact cars, known as FAAR. The platform is common to the latest 1-Series, 2-Series Gran Coupe, and 2-Series Active Tourer.

Production of the X1 is handled at BMW's plant in Leipzig, Germany. The plant will also build a redesigned Mini Countryman related to the X1.