The new model, which will (obviously) be a size bigger than the BMW X5 and aimed at rival cars such as the Mercedes-Benz GL-Class, is likely to be a permanent seven- or eight-seater, whereas the X5 is currently sold as a five-seat model with the option of a third row.
The news comes as BMW plans to expand its US plant to include a third body shop for production of the all-new model, with the expansion expected to cost the company hundreds of millions of dollars.
Any such BMW model could also form the basis for a spin-off SUV from sister company Rolls-Royce, in the same way as the Rolls-Royce Ghost is spurned from the BMW 7 Series.
BMW has made no announcement regarding the BMW X7.
The X7 will be the flagship SUV in the German brand's range, with a new-generation BMW X6 coupe-styled SUV expected to be revealed within 12 months. Further down the range, the company also offers the aforementioned X5, the soon-to-be-released X4 and the existing X3 and X1 models. There are also rumours that a new X2 will be built, though they are not yet confirmed.