Compared with the final versions of its M52 predecessor (called the 'M52TÜ'), the M54 has a non-return fuel system, a fully electronic throttle (without mechanical backup),[1][2] Siemens MS 43 engine management,[3] and a revised intake manifold.

There was no "technical update" (TÜ) version of the M54 produced, therefore the engine specifications remained the same throughout its seven-year production run.

[10] The S54 was marketed as the high performance equivalent to the M54, however it is actually more an evolution of the BMW S50 and shares few parts with the M54.

Variations in power and torque outputs are often due to country-specific emissions regulations, or space constraints of a chassis affecting the layout of the intake/exhaust system.

This engine is designated S54B32HP and the changes include a revised intake made from carbon fiber, revised camshafts, a MAP sensor (instead of the MAF sensor used in the regular S54),[3] a lightweight exhaust manifold with a straighter air path (which later became standard on the regular S54) and a straightened intake manifold.