The 1998 BMW 3 Series belongs to the model's fourth generation, E46, having received cosmetic updates, improved handling, and advanced infotainment; however, not all these features were available until the 1999 model. Engine options include a 2.5L I6 with 170 hp and a 2.8L I6 pumping out 193 hp, both coupled with a 5-speed manual or automatic transmission, and all-wheel-drive was an option. Notable features include anti-lock brakes, stability control, and optional side curtain airbags—an impressive safety suite for its time. A new LCD display was a highlight of the cabin, offering simplistic access to audio and climate control settings.