What's the difference?
BMW’s new XM is a tricky customer to pigeon-hole. Yes, it’s a huge, super-lux SUV and, yes, it’s all-wheel drive and features a station-wagon layout.
But it’s also a M-car and that infers super high performance. Weighing in one the wrong side of 2700kg, however, makes that a difficult task for any engineer.
This car also left us wondering if perhaps the glory days of M Division sports cars and coupes might behind it and SUVs like this one represent the road ahead.
But fear not: The CEO of M Division himself, assured us that the XM is a showcase for what an M badge can do, rather than a mission statement for the brand.
So, with that in mind, does this car have the wow factor that places it somewhere between peak oligarch and a motor-show concept car? Does it move the goal posts for big luxury SUVs? Does it even matter that it’s a plug-in hybrid?
If you're in the market for a premium-style four-wheel drive wagon with eight seats and a petrol V8 engine and you live in Australia, your choices have been rather limited. You'd be looking at something like the Nissan Patrol or the Land Rover Defender 130.
Well, that has now changed as General Motors Specialty Vehicles (GMSV) is importing the GMC Yukon Denali to Australia. This top-of-the-range Yukon arrives here as a left-hand drive vehicle and is converted to right-hand drive at a facility in Victoria to suit our market.
The Denali has a price tag just under $175,000, though, and that makes it a lot more expensive than most vehicles that could be considered rivals in the Aussie market. Is it worth it?
Read on.
It’s pretty obvious the XM is designed to impress people with big wallets and an appetite for a techy experience that’s also not without a few green credentials. The ability to motor around as a fully-electric vehicle for up to 80km or so is a big plus and the electric-ballroom interior vibe is hard to ignore, as well.
But from our perspective, the full-fat, twin-turbo V8, while offering startling performance, is perhaps a lost opportunity to follow some of BMW’s competitors into the engine-downsizing space. Then again, when you floor the throttle and 2700kg hurtles forward like a big dog on a short chain, you can see where BMW is coming from.
Perhaps the biggest letdown is the ride quality – or lack of it. While it’s understandable BMW wanted the most dynamic version of the XM it could manage, the end result plays against the vehicle’s otherwise long suit of hyper-luxury. Doubtless, BMW would argue that to soften the chassis would have been to introduce a chink into a no-compromise product. But, perhaps, sometimes a sensible compromise is the way forward.
The 2025 GMC Yukon Denali is a big, comfortable, eight-seat 4WD with few rivals in the Aussie market. However, while it may occupy its own niche, it doesn't offer enough in terms of premium look and feel and towing capacity over what could be considered its rivals – and it all comes back to that price tag.
While it lacks a competitive warranty and its price puts it way out of reach of a lot of 4WD buyers, if you are in the market for a big premium-style wagon with a V8 and eight seats – and the Nissan Patrol and Land Rover Defender 130 aren’t your cup of tea – then the Yukon Denali just might be the right choice for you.
But when all is said and done, for the price of the Denali, you could buy two Nissan Patrols – maybe not brand-new ones – and a camper trailer and a couple of cartons of beer.
There’s nothing subtle about the way the XM looks. It probably pulls up just short of brutalist (or maybe not) but even those who find its slabs and angles attractive have to admit that it’s bold.
The now-trademark giant nostrils set the mood and the rest of the exterior suggests some kind of armoured transport for presidents rather than wheels for the school run. Doubtless, this will hardly be seen as a fault by those in the market for such a thing.
The real surprise here is that the XM does not share a bodyshell with any other production BMW. Sure, the V8 petrol engine and wheelbase are common to other BMW and M models, but the sheet metal is the XM’s and the XM’s alone. That in itself, is quite a statement of intent.
The 2025 GMC Yukon Denali is 5337mm long (with a 3071mm wheelbase), 2378mm wide, 1943mm high and has a kerb weight of 2813kg.
Suffice it to say, it’s big.
The signature Denali grille – with LED headlights and chrome accents – is the size of a house and it’s eye-catching.
In terms of design, the rest of the Denali is standard SUV, but it's so massive it can't help but have plenty of presence on the road.
This 4WD has 24-inch rims, which are not suited to off-roading at all, but I’ll get to that later.
The Denali’s dual exhaust system, with polished stainless-steel tips, adds to the street-cool aesthetic.
The rest of the Denali exterior works – but it’s an in-your-face kind of success.
Inside, the space is cavernous and with leather upholstery, wood-look trim and soft-touch surfaces you’d expect it to feel like a plush, well-appointed cabin. But it doesn’t quite hit the mark.
Sure, all three rows of seats offer enough in terms of comfort and amenities but, for a $175,000 vehicle, the cabin lacks a distinctive premium feel, as you'd assume it should in a vehicle at this price point. That's a bit of a disappointment.
Given the vast exterior dimensions and a weighbridge ticket the wrong side of 2700kg, it may come as a surprise to learn that the XM is strictly a five-seater with not even an optional third row.
That said, the uber-SUV Lexus LX in flagship, Ultra Luxury, trim offers just four seats in deference to the VIP clientele it’s pitched at, but also comes complete with reclining rear seats and a passenger’s side footrest which the XM can’t match.
Staying in the rear seat, there’s lots of legroom and plenty of space under the front chairs for feet. A lot of that is down to the wheelbase the XM shares with the BMW X7, and even behind a tall driver, there’s lots of space. In fact, compared with a BMW X5, there’s a full 150mm of extra legroom.
The pew itself flows into the door trims for a lounge effect which looks great with the contrasting light-coloured trim, and the centre arm-rest folds down to reveal a pair of cupholders. Extra storage space can be found in fold-out pockets in the rear of each front seat which also house a small, lidded panel that opens to reveal USB ports and power sockets. Dual-zone climate controls are also part of the rear-seat experience.
The gee-whizz stuff hasn’t been ignored, either, and the prismatic roof lining is nothing if not a talking point. But would a panoramic sunroof have been of more value to many buyers? The ambient lighting is a nice touch, too.
Up front, the view is dominated by the giant, twin curved animated dashboards. They deliver information and lots of it, to the point where it can almost seem a bit overwhelming.
The head-up display helps simplify things, but there’s absolutely no doubt there’s a lot going on in this cabin. Again, this is modern luxury motoring, but it remains that the menu system will take time to learn, even if the touchscreen function gives you an option on how you control things.
Multi-adjustable front seats are part of the deal and there’s an M-spec steering wheel which is heated. And although it features plenty of buttons, isn’t as daunting perhaps as the multi-spoked equivalent in some high-end AMGs of late.
The stereo system is also worthy of a mention, being a Bowers & Wilkins unit with roof mounted speakers and no less than 1500 watts of power. Digital radio is part of the package.
Even though it doesn’t offer a seven-seat option, luggage space in the rear of the XM is hardly class-leading. Cargo volume with rear seat up is 527L and 1820L with it folded.
Much of the wheelbase is devoted to rear-seat stretching room and although the batteries for the electric motor are positioned under the rear seat, the floor of the cargo area seems quite high.
The Denali has retractable sidesteps, which is a big help to hobbits, such as me, and it also has big grab handles, again a welcome addition for the purposes of easier ingress for those on the wrong side of tall.
Once you climb inside, it’s easy to appreciate the fact that this wagon’s interior is vast, functional and comfortable, with plenty of storage spaces for everything – glove box, centre console, sunglasses case, door pockets etc – and plenty of charge points for your array of smart devices, even a wireless charge pad.
It’s a well-designed cabin but, as mentioned earlier, the Denali lacks the prestige fit and finish and even build quality usually showcased in something at this price-point.
Instead, there are expanses of hard plastic throughout, storage receptacles with flimsy lids, and lacklustre fit and finish here and there.
The vertically-oriented 16.8-inch touchscreen multimedia system is simple enough to use, even when the road gets bumpy, although it sometimes took a few stabs of my finger to get the system to register a command.
Climate control switches and the like are located under the screen.
The three rows of seats offer more than adequate levels of comfort – the front seats are heated and ventilated and the second row’s outboard seats are heated – and each row also has the appropriate amount of amenity to suit its occupants, including cupholders, USB-C sockets, map pockets and the like.
The second-row seats even have 12.6-inch HD colour touchscreens – one on the back of each front-row headrest – with which to enjoy… whatever. Those units also have wireless headphones so everyone else in the vehicle doesn’t have to listen to… whatever.
Those in the third row get air vents, a USB-C plug and two cupholders on both sides.
Rear cargo volume with all seats up is 722 litres. With the second row folded that number expands to 2056 litres, and with only the front seats left standing you have a 'yuge' 3480 litres to play with.
The boot area has tie-down points, a shallow section of underfloor storage and plenty of packing potential. The tailgate door is power-assisted with remote open and close.
As I mentioned, the Denali’s interior is very functional and very comfortable and that includes the second and third row, which offer plenty of space.
Overall, my thoughts on the Denali’s cabin interior boil down to “massive”, “comfortable” and “feels cheap”.
The XM is one of those 'no options' vehicles. That is, you pay the basic price, you get one with the lot. The aged leather and even the optional 23-inch wheels and tyres are no-cost options, so it’s clear where BMW is aiming the thing.
As well as the plug-in driveline, all-wheel drive and all the M driving focus, the XM features plenty of tech including massaging front seats, heated seats all around, a high-end stereo, heated and cooled cupholders, four-zone climate-control, wireless phone charging and twin, curved info screens for the driver measuring 12.3 and 14.9 inches. The novel roof lining also features 100 pin-point LEDs for effect.
The cost of such detailing is a not insubstantial $302,200. That figure does, however, undercut two of its main rivals, the Lamborghini Urus ($395,888) and the Aston Martin DBX ($356,512).
It’s also worth mentioning that the XM is not even BMW Australia’s most expensive model; in fact, it’s fourth on the ladder.
The 2025 GMC Yukon Denali is a top-shelf, eight-seat, 4WD V8-powered wagon with a price-tag of $174,990, before on-road costs.
The standard equipment list is a comprehensive and its more notable features include a 16.8-inch touchscreen multimedia system (with wireless Apple CarPlay and Android Auto - but no sat-nav), a 14-speaker Bose sound system, power-adjustable heated and ventilated leather-accented seats, a head-up display, 12.6-inch rear HD touchscreens for the second-row passengers, a panoramic sunroof and an auto-sense power rear door.
It also has a 360-degree high-definition camera system (with up to 11 camera views), power-retractable sidesteps, 24-inch machined and painted 'pearl nickel' alloy wheels (on Bridgestone all-season tyres), all-around adaptive air suspension and a maximum braked towing capacity of 3628kg (when it has a 70mm ball and weight-distribution hitch).
Exterior paint choices include 'Onyx Black', 'Summit White', 'Titanium Rush Metallic', 'Volcanic Red Tintcoat' (on the test vehicle and costs $2000), 'Downpour Metallic', 'White Frost Tricoat' and 'Sterling Metallic'.
Here’s where the XM starts to justify its price-tag. While the use of an electric motor to boost a petrol engine has allowed some manufacturers to reduce the capacity of the latter, no such restraint has been shown for the XM. Instead, it gets the full 4.4-litre, twice turbocharged V8 that we’ve come to know and love from this brand.
It’s not that this is the engine’s first date with hybrid technology, but the mild hybrids that have come before it can’t match the XM for sheer brutality when both power units are unleashed.
The petrol V8 can muster up 360kW and 650Nm which, when boosted by the electric motor, jumps to a total of 480kW (combined) and 800Nm.
While the petrol engine drives through an eight-speed torque-converter automatic, the electric motor also drives through the transmission, an arrangement that is a bit different to some hybrids which use the petrol engine for the rear axle and the electric motor to drive the front wheels.
Of course, the requirement for the XM to feature permanent all-wheel drive, regardless of what power unit is running at the time, forces this layout.
Speaking of all-wheel drive, The XM’s version of BMW’s 'xDrive' layout has been specifically tuned for this vehicle and includes torque vectoring as well as a limited-slip rear differential.
The system has the ability to vary the torque split front to rear, with the default rear-bias giving a more sporting feel on good surfaces. An active rear differential also helps give the car a rear-drive feel.
As well as modes for 'Hybrid', 'Electric' and 'eControl' modes, the XM sticks with the M tradition of offering two M buttons which can be configured to set the parameters for steering, driveline, chassis and, in the case of the hybrid XM, the degree of braking regeneration offered.
Four-wheel steering is also part of the XM’s repertoire and, interestingly, there’s no air suspension here; just conventional steel springs.
But it does feature an electrically-adjusted anti-roll bar system which aims to strike a happy medium between what the driver wants and the road conditions demand.
The GMC Yukon Denali has a naturally-aspirated 6.2-litre V8 petrol engine – producing 313kW and 624Nm – and that’s matched to a 10-speed automatic transmission.
This is an impressive set-up – the Denali is punchy off the mark, smooth and refined at highway speeds and overall it offers a composed and comfortable driving experience.
The Denali has a full-time 4WD system, selectable driving modes include 'Normal', 'Sport', 'Off-road' and 'Tow' and an electronic limited-slip differential is standard.
A 25.7kWh lithium-ion battery provides the power for the electric drive. It’s mounted under the rear seat and can produce a purely electric range of between 82 and 88km (based on WLPT test protocols).
Charge time from a conventional wall-box is said to be about four hours but, interestingly, the XM has no provision for DC fast-charging.
Fuel consumption (combined cycle) is an EV-typical 2.7 litres per 100km, which equates to a low 61g/km of CO2.
Once you’ve depleted the battery on a highway journey, expect the petrol V8 to consumer somewhere between eight and nine litres per 100km at cruising speed.
Using EV mode means zero-emission operation but, as with any electric car, how the power is generated to recharge it determines its real-world green-ness.
Obviously, with such a big vehicle – almost three tons – driven by such a big V8 engine, fuel consumption is a concern. The 2025 GMC Yukon Denali has a listed fuel consumption figure of 12.8L/100km (on a combined, urban/extra-urban cycle).
I recorded 16.2L/100km on this test. I did a lot of high- and low-range 4WDing and this wagon was never working hard.
The Denali has a 91L fuel tank so, going by my on-test fuel-consumption figure, you could reasonably expect a driving range of about 560km from a full tank.
While any M car is supposed to be rapid and dynamic, it’s also true that the over-arching perception of big SUVs is that they’re comfortable and plush. None of which explains the ride in the XM.
Regardless of how you fiddle with the settings, the ride is always brittle. Those big tyres with their minimal sidewall somehow manage to find every crack and join in the road, and it’s these sharp-edged imperfections that thump through to the cabin the most vocally.
It’s enough to make you wonder who this car is going to appeal to. Will it take to race tracks? Almost certainly not. So the whole point of these suspension settings might be a bit lost on some people.
Performance, meanwhile, is insanely rapid for something that could pass as a bulk carrier. The biggest giveaway to the mass is the transmission’s earnest attempts to keep everything moving by feeling a bit hyperactive on downshifts.
Using the ratios is always going to be the strategy, but with all that torque, maybe it’d be nice sometimes for the trans to hang on to a taller gear and let the boost blow it towards the next corner.
The sound track? Polarising. Even if it doesn’t convince you that Hans Zimmer (who developed the various electronically-synthesised noises the XM makes) should stick to winning Oscars, the augmented sounds are background noise rather than the main event here.
Even the petrol V8’s naturally stirring backing vocals have been electronically tweaked with debatable results.
That said, it’s nice to have something to listen to that isn’t the insistent tyre roar which becomes even louder on coarse-chip surfaces.
Steering effort is light but there’s not a lot of feedback in terms of actual feel. In fact, it’s borderline detached and only the sheer speed of the rack confers any athleticism.
Also, the rear steering seems to come in a few milli-seconds after the front has started to turn. And for all that all-wheel-steering agility, this is never a car that shrinks around you.
The Denali is imported to Australia as a left-hand drive vehicle and then Walkinshaw's subsidiary company Premoso remanufactures the US 4WD wagons to right-hand drive at their facility in Clayton, Victoria.
And that mob has done a commendable job.
Firstly, the Denali is very impressive on general driving duties – settled and composed, that V8 just rumbles along. It’s pretty close to flawless on the open road - smooth and refined.
But off-road is a different story – especially in low-speed technical low-range 4WDing – and a lot of that has to do with the Denali’s sheer bulk and its 24-inch wheels.
The big pizza plate rims and paper-thin Bridgestone all-season tyres (285/40) aren't suited to four-wheel driving as they don’t offer the grip of a decent all-terrain and you can’t drop air pressures because there isn’t enough tyre there. Worth noting the spare is a Maxxis Bravo HT-750 (265/70R17).
In its favour, though, the Denali has a range of drive modes – one of which is Off-road and that seems well calibrated for a variety of 4WD situations – as well as high- and low-range gearing and an electronic limited slip diff.
Steering has a nice balance to it at low speeds, throttle response is quite impressive and controlled. And you can call on that 624Nm from the big 6.2-litre V8 pretty much as you see fit, and it delivers it smoothly and in a controlled fashion.
This top-shelf variant has air suspension – that does some levelling out of even major imperfections in the road or track surface – and it does have a special damper system also working away to even out ride and handling.
In terms of off-road measurements, the Denali offers approach, departure and rampover angles of 24.8 degrees, 20.5 degrees and 22.5 degrees, respectively.
Ground clearance is listed as 205mm, wading depth is not quoted, but likely a guesstimated 700-800mm, and turning circle is 12.4m.
And again, this is a big vehicle – 2813kg – so it requires more consideration, more patience, more skill and probably more experience than perhaps some smaller four-wheel drives do.
The Denali's payload is listed as 634kg, which is not a lot for a massive vehicle like this. Its towing capacities are 750kg (unbraked) and 3500kg braked.
If you do, however, put a 70mm tow ball and a weight-distribution hitch on the Denali, you can tow as much as 3628kg legally (braked).
That's not a lot more than something like the Nissan Patrol, which is 3500kg, or the equivalent 4WD wagon or ute available in Australia already. So the extra towing capacity in the Denali is not that big of a selling point. GVM is 3447kg and GCM is 6577kg.
Ultimately, even though the Denali has sound four-wheel drive mechanicals and reasonable off-road traction control, it's hampered by its gargantuan dimensions and let down by its 24-inch wheels and paper-thin tyres.
If you got rid of the standard wheel-and-tyre combination and replaced it with a set of decent, aggressive all-terrain tyres on 17 inch or 18 inch, or even (if you had to) 20 inch wheels, those changes would go a long way to making this over-sized 4WD capable in some off-road scenarios.
In its current state, however, the Denali is a tow vehicle playing at 4WDing rather than the other way around.
As well as the usual passive safety features, the XM also hides the latest active safety gear. In fact, BMW reckons the XM has more driver assistance than any other M car before it.
Those elements start with the 'Driver Assistant Professional' which bundles active cruise-control with stop-go ability, steering and lane-keeping control, automatic speed limit assist and active navigation.
Parking assistance is also featured which incorporates a reversing assistance function, front, rear and panoramic camera views with a 3D view built in.
BMW’s 'ConnectedDrive' includes an emergency call function in the event of a crash or other emergency.
No ANCAP assessment so far.
The GMC Yukon Denali does not have an ANCAP safety rating because it has not been tested.
Standard safety features include six airbags (including full-length curtain airbags for all three rows) and a full suite of driver-assist tech includes AEB (with pedestrian detection), adaptive cruise control, blind-spot monitoring, lane-keep assist, rear cross-traffic alert, front and rear parking sensors, tyre-pressure monitoring, a surround-view camera, trailer sway control, trailer hitch guidance with hitch view and more.
Like a lot of manufacturers, BMW knows consumers can be leery of EV tech when it comes to the cost of battery replacement. So, as well as the five-year/unlimited-kilometre warranty on the whole vehicle, there’s also eight years or 160,000km of cover for the high-voltage battery.
Servicing intervals are based on how the car has been used and it will inform the owner when a service is required.
A servicing package is included in the purchase price and BMW even throws in three years of roadside assistance.
The 2025 GMC Yukon Denali has a three-year/100,000km warranty – which is on the wrong side of ordinary in this day and age.
Roadside assistance is available for three years but check with your dealership for more details on that.
Servicing is scheduled for every 12 months or 12,000km. The first three workshop visits come in at $398.33, $420.33 and $506.48, including GST. Not outrageous for such a hefty beast.