[StealthCTSVJJL]

There is no doubt in my mind that if Cadillac can keep the CTS-V's price range in the 60-65k range AND offer 600 hp they will lift M3, RS4, IS-F, and C63 customers from the other brands. No one is even close to that figure and there is no better selling point than saying "this car has 200 more hp than than the rest". I still believe that M5 and CLS63 customers will not trade their cars in for a Cadillac, but it will certainly raise some eyebrows and Caddy needs that to strengthen their prestige car image, for future products, and more importantly future customers in the higher price ranges.
Of course this leads to the inevitable question: If the CTS-V is given 600 hp, what will the next STS-V get? I would not be surprised to see the XLR-V go away it was a major sales bomb, but the STS V can go head to head with the M5 and CLS63 and upcoming Audi RS6 if given the right firepower, like a 650 HP verison of the CTS-V engine. As enticing as a 55K 450 HP with proper diff sounds for the 09 CTS-V, Cadillac is also eyeballing a new entry level vehicle based on a Holden design more in the size of the 3 series Bimmer, that one may carry on the torch in the future with a 400 or so HP engine and a 50 or maybe even less price tag!
It would make good business sense for Cadillac and GM.