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Published July 15, 2025
Mercedes-AMG is officially reversing its downsizing bet. At a recent media briefing, AMG CEO Michael Scheibe confirmed that the brand will bring V8-powered models back to the lineup, with the first examples arriving before the end of 2026. The announcement marks a significant pivot from the direction the company took in 2022, when it pulled the V8 from the C63 and replaced it with a four-cylinder plug-in hybrid. That move drew sharp criticism from enthusiasts and, according to multiple dealer reports, pushed some loyal AMG buyers toward BMW.
Scheibe did not disclose all details, but he stated that the re-embrace of the V8 is part of a broader dual-path strategy: the brand will continue developing its high-performance hybrid technology while also satisfying the core demand for a large-displacement combustion engine. “We are doubling down on the V8 again,” he said. “It’s not an either/or. For our most important models, the V8 is the character we want to keep.”
The new V8 is expected to be a higher-output evolution of the flat-plane-crank 4.0-liter turbo unit currently used in the S-Class and GLS, where it produces 530 hp. In the to-be-revealed GLE 63 S successor, output could reach 603 hp, matching the current top end. The C-Class will not receive a V8; the AMG variant will use a six-cylinder setup, closing the era of a compact eight-cylinder Mercedes permanently.
BMW Never Had This Problem
While Mercedes pivoted toward downsizing, BMW kept its V8 and added electrification as a supplement rather than a replacement. The engine in question is the M-developed S68 4.4-liter twin-turbo V8, which replaced the older N63. The S68 is now standard across the highest-performance BMW M models: the X5 M, X6 M, and the new G90 M5, which pairs the V8 with an electric motor for a combined 717 hp.
The result is that for the past three years, BMW has been able to advertise “still V8” while Mercedes was explaining why less is more. That gap mattered in the showroom. A buyer cross-shopping the G90 M5 against the E63 (then in its final V8 form) or the X5 M against the GLE 63 had a simple choice: one brand kept the engine character, the other didn’t. Dealer feedback and enthusiast forums suggest that some AMG faithful, frustrated by the C63’s four-cylinder downgrade, shifted their loyalty to BMW.
Of course, sales data alone cannot separate the engine factor from other variables—styling, lease terms, brand loyalty. But the timing of Mercedes’ reversal is telling. The four-cylinder C63 was widely panned in reviews (Car and Driver called it “a technical marvel that forgot why people buy AMGs”). The model’s sales in the U.S. fell by roughly 30% in its first full year compared to the prior V8 generation, according to industry estimates.
Round Two: Who Wins the V8 War?
With AMG’s V8 confirmed, the contest shifts from “who kept the V8” to “whose V8 is better.” BMW’s S68 in the M5 achieves 717 hp, but it does so with a heavy hybrid system that adds roughly 500 pounds over a pure combustion setup. Critics have noted that the M5’s curb weight now exceeds 5,300 pounds, which dulls the agility that the brand was once known for.
AMG, by contrast, is expected to keep its V8 largely combustion-only in the core models, with hybrid assistance reserved for the most extreme derivatives (like the Mythos edition). That could appeal to buyers who value the visceral, naturally aspirated feel of a traditional V8—even if the peak power numbers are lower than BMW’s hybrid king.
The timeline is also becoming clearer. The first model to get the new V8 is likely the CLE 63 Coupe, which is expected to debut in late 2026 as a 2027 model. A high-performance Mythos version will follow shortly after. The GLE 63 S and GLS 63 will receive the updated engine in 2027, while a potential E63 revival (as a V8 sedan) is still under consideration but not yet confirmed.
Broader Industry Context
Mercedes is not alone in walking back downsizing. Stellantis recently reversed its decision to kill the Hemi V8 in the Dodge Charger and Challenger, bringing it back in certain trims after customer backlash. Lamborghini has repeatedly stated it will keep its naturally aspirated V12 alive as long as regulations allow, and even Ferrari is holding onto its V12 in the 12Cilindri.
What is unique about the Mercedes-BMW rivalry is the timing and the direct competitive overlap. The next two years will see a renewed face-off between the CLE 63 and the M4, a possible E63 revival against the M5, and the perennial GLE 63 S versus X5 M battle. This time, both brands are armed with V8s—but one never left, and the other is returning after a four-year detour.
Whether AMG can win back the buyers who defected to BMW remains to be seen. The early signals are positive: dealer surveys show that the announcement of the V8 return has already increased queries for upcoming AMG models. But the real test will come when the cars hit showrooms and the engines speak for themselves.
