And yes, this is a good thing.
Using intelligent strategy, the Volkswagen group is summoning its engineering might from the strong Porsche arm to make an engine that will find its way into the upcoming new Panamera, Cayenne, and other models within the VW family. The expected broad application for the engine means that things need to be done right, and of course Porsche delivered on that by building a motor that should bring the VW group into the future. The powerplant that this new engine is likely replacing is the twin-turbo 4.8-liter V8 that made 570 horsepower.
It has a lot to live up to because the previous engine ensured that the last generation Panamera Turbo S was an executive family saloon that could double as a track day special. The new engine is optimized for fuel economy by featuring stop/start, cylinder deactivation, and the capability to easily be mated to a hybrid drivetrain. In total, this nets a fuel savings of 30% over the old 4.8-liter. The cost of this savings is a loss of 21 hp, for a total of 549 ponies. According to Car and Driver, the engine will be very similar to the turbocharged 3.0-liter V6 that lives in the Audi S4, so this could mean that the V8 replacement could displace 4.0-liters and be supplemented by two turbochargers.
Despite the downsizing, this engine will make peak horsepower at 5750 rpm and pull with 568 lb-ft of torque from 1960 to 4500 rpm with redline coming in at 6800 rpm, which means that this engine is nearly the same as the old 4.8-liter. It's reported that this V8 also fits a longitudinal architecture, enabling for plenty of design freedom. Aside from making appearances in new Porsches, we can expect to see this powerplant mated to ZF-sourced 8-speed automatics and double clutch transmissions in the soon to be refreshed Bentley Continental, the Lamborghini Urus, and top-trim Audis. If Porsche makes the rumored 960 mid-engine supercar, we can expect this motor to make its way there possibly sharing responsibilities with electric motors.