BMW launched the third generation M5 at the 1998 Geneva Motor Show.
Aimed to challenge the new Jaguar XJR and Mercedes-Benz W210 E55 on the premium-sport sector, the new M5 showed up with a newly-developed 4.9L V8 engine delivering 400 hp and 369 lb-ft of torque. Throughout its 6 years of production, the M5 received several new features (on a year-to-year basis) including revised headlight-design, new front bumper or rear-head airbags. When launched, the new BMW M5 was the powerful 4-door saloon car in the world, scoring an impressive 5.3 seconds on the 0-60 mph sprint and topping 178 mph (although it was electronically limited to 155 mph).