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You can run your car on a lead acid battery - it requires a re-registration I believe. There is a summary of this discussion in another thread if you choose to search.
The price you quoted is list price at a dealership for the battery. You can get them for a good bit less, but yes it's a very expensive high quality lightweight battery.
Edit: The stock battery is supposed to have a lifetime 2x what a normal battery does as well as all the benefits of a lithium battery. If this bears out as true, bear in mind a "normal" battery replacement on a modern BMW is $500 at a dealership for both the battery & install/registration. So if our lithium battery lasts 2x as well (we'll see), this would reflect a normal spend of $1k at a dealership over that lifespan on a normal battery.
I would anticipate you can get the stock battery for $800 (battery alone).
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