I had a f80 before my m340i. The only thing I miss about the M3 is the speed. The m340i is fast, but not as fast as the M3. However, what I've gained with the m340i surpasses what I miss about the M3. The m340i is a MUCH better daily driver, ride is more forgiving, technology is much improved, interior design is nicer. As well, I feel the interior quality is better, except for the upper dashboard - M3 was leather.
If this is going to be your daily driver, I wouldn't consider the M4. However, if it's not your daily driver, and you do track and club events, then definitely the M4.
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