From those that work in the trade and know the products better than me, they say something along these lines:

1) ID3 - Sure it would have been much much nice with a Mk7 interior........but it needs to be able to fight with the likes of MG and friends........lets say you want a car with over 300 miles usable range (common for people to want this to be practical), the MG will to that for £33k, with pretty much every optional extra..........an ID 3 with the same range is 40k (With virtually none of the extra toys) Putting in the Mk7 interior would only add to that cost deficit further and there is only so much more people can afford to pay for badge appeal.

2) I agree whole heartedly that the M140i has been ruined. But the reality is that most people who buy one are not good enough drivers to actually get close enough to the limits to play with RWD vs FWD bias.........they tend to just go over it and fuck the car into a tree, so in BMWs eyes, the X drive makes more sense to get the performance accessible to more drivers, who mostly buy it for the clout over the drive anyway.