This problem of staying at the leading edge of engine development seems to be a constant issue for niche auto makers. Volvo seems to have pulled it off as even it’s current engine lineup is largely versions of the “white block” engines first developed for the 850 and 960. Sure the Volvo V-8s are from the Ford family … but Volvo should not be using V-8s anyway! Saab always had problems in this regard. Jaguar was stuck with the same basic engine far, far longer than it was competitive with until Ford dumped bucket loads of cash in.

Speaking of which, if the Tata purchase of Jaguar and Land Rover goes through, where is Tata going to get leading edge engines from? Do they have enough cash to pour into Jag-Rover to go it alone?

Ford’s focus on mass market vehicles makes sense, but also means that Ford is highly unlikely to develop luxury vehicle class competitive engines in the future.

Then there is the whole issue of meeting ever tighter fuel economy/CO2 emission regulations going forward. Gulp.