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{{Main|History of BMW}}
 
The [[Otto Flugmaschinenfabrik]] was founded in 1910 by [[Gustav Otto]] in the [[Kingdom of Bavaria]], which was a state of the [[German Empire]]. The firm was reorganized on 7 March 1916 into {{lang|de|Bayerische Flugzeugwerke AG}}. This company was then renamed to {{lang|de|Bayerische Motoren Werke}} (BMW) in 1922. However, the name BMW dates back to 1913, when a company to use the name was founded by [[Karl Rapp]] initially as {{lang|de|[[Rapp Motorenwerke]]}}. The name and {{lang|de|italic=no|Rapp Motorenwerke}}'s engine-production assets were transferred to {{lang|de|italic=no|Bayerische Flugzeugwerke}} in 1922, who adopted the name the same year.<ref>{{Cite web |url=https://www.bmw.com/en/automotive-life/BMW-name-meaning-and-history.html |title=BMW name, meaning, and history |publisher=bmw.com}}</ref> BMW's first product was produced for fighter aircraft of the {{lang|de|italic=no|[[Luftstreitkräfte]]}}. It was a straight-six aircraft engine called the [[BMW IIIa]], designed in the spring of 1917 by engineer [[Max Friz]]. Following the end of World War I, BMW remained in business by producing motorcycle engines, agricultural equipment, household items, and railway brakes. The company produced its first motorcycle, the ''[[BMW R32|BMW R 32]]'', in 1923.
BMW became an automobile manufacturer in 1928 when it purchased Fahrzeugfabrik Eisenach, which, at the time, built the [[Austin 7]] under licence from [[Automobilwerk Eisenach|Dixi]].<ref name=Odin>Odin, L. C. (2015). ''World in Motion 1939: The whole of the year's automobile production''. Belvedere. {{ASIN|B00ZLN91ZG}}.</ref> The first car sold as a BMW was a rebadged [[BMW Dixi]] called the [[BMW 3/15]], following BMW's acquisition of the car manufacturer Automobilwerk Eisenach. Throughout the 1930s, BMW expanded its range into sports cars and larger luxury cars.