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Jaguar's V8-powered XE looks to take aim at the BMW M3

It seems that Jaguar's littlest sedan is about to get one of the company's biggest engines. One of our spy photographers caught the company testing a disguised XE. While most people's first instincts would be to dissect the car, our photographer paid some extra attention to the number plate, and looked up the car's registration. He says the registration reveals that this little car is packing a 5.0-liter V8. The only sort of 5.0-liter V8 Jaguar makes is supercharged and makes 550 horsepower or more. So what we're probably looking at is a future 550-horsepower XE R. On the car itself, there appear to be larger intake vents on each side of the front bumper, likely for cooling off a much bigger, hotter engine. And of course a more aggressive appearance. The V8 theory is further backed up by the quad-tip exhaust that clearly needs more development. Aside from these changes, this XE looks pretty similar to the sportier models in the current range. It has the same side skirts as the XE R-Sport and XE S. It also uses the same wheels as the XE S. We can safely say that at least the wheels will be different when the V8 model reaches production. As for when that will be, we'd say don't expect to see a revealed production model for at least a year, and possibly more, since there appears to be a decent amount of development left to do. Related Video:

2018 Jaguar XE S AWD Drivers' Notes | Don't stop me now ...

The 2018 Jaguar XE S AWD plays in a tough segment. The relative newcomer jumps into the fray with the BMW 3 Series, the Mercedes-Benz C Class, Audi A4 and Cadillac ATS. While it's available with a number of engine and drivetrain combinations, this model came with the top-tier 380-horsepower supercharged V6, the same one found in the Jaguar F-Type. It transforms the XE from a calm but capable sport sedan into a real hotrod. Our test car had nearly all the bells and whistles Jaguar offers. The Firenze Red paint was accented by blacked-out trim, giving it a far cooler look than the standard chrome brightwork does. The interior features red-and-black heated and ventilated leather seats, carbon-fiber trim, a 10-inch touchscreen infotainment system and more. It comes with adaptive cruise control, but, as we learned, you need to scrape all the ice off the sensors for it to play ball. Associate Editor Reese Counts: I have a love/hate relationship with snow. I utterly despise the white stuff when it's 6:30 a.m. and I'm digging out my driveway and dreaming of the warm pillow I left behind as my pants slowly soak through and the fine motor control in my fingers decides to call it quits. Then I get behind the heated steering wheel of something like the XE S AWD and all my anger fades behind the plume of snow being thrown up by the tires. Sport sedans in the winter are amazing. I'm a big fan of the XE. Our old long-term diesel was a great little sedan, even if not everyone agreed with my sentiments. This platform is capable of so much more than the diesel can deliver. The XE S ditches that car's fuel-efficient-but-clattery oil burner for the sweet soundtrack of a supercharged V6, the same one that's under the hood of our current long-term F-Pace S. It's paired with ZF's ubiquitous eight-speed automatic and sends 380 horsepower to all four wheels. It feels damn near unstoppable in the snow. I'll be honest, I was flat-footing the car everywhere I went. I was searching for unplowed roads or empty parking lots because I just wanted to make the car dance. The all-wheel-drive system is rear biased, giving you enough of a leash to let loose without spinning out. The throttle response from the V6 was smooth and instant. It was easy to manage the car's angle just using the gas. The XE S was so good at clawing its way through the snow, I was convinced it was wearing winter rubber until I looked and saw a set of Pirelli all-seasons.

Weekly Recap: Jaguar takes a leap with price cut, new strategy

Jaguar was one of the famous automotive props and plotlines in the now-iconic drama Mad Men. There's a scene where the show's protagonist, Don Draper, deftly undercuts an influential Jaguar dealer by indicating that get-me-in-the-door local radio spots would be an effective way to sell cars like the slinky E-Type. The British executives think this is folly – Draper knows they will – and his advertising strategy wins out over the dealer's approach to move the metal. Jaguar's not doing that, but half a century later in the real world the company is launching plans to make its cars more attainable to new and younger customers like Millenials. These aren't coupons, but this is a leap for Jaguar, which has long banked on sexy styling and its rich motorsports history to overshadow its past mechanical flaws. Put simply, Jaguar is addressing the reasons why people, especially the younger set, don't buy its cars. The 2017 XE will start at $35,895 when it launches next spring – which makes it an attractive buy for a successful, relatively young person. When it's time to move up, the redesigned XF will be more attainable, coming in at $52,895, which is $5,275 less than the 2015 model. The flagship XJ sedan and the enthusiast-oriented F-Type sports car will also get thousands of dollars worth of added standard features, and Jag is actively pitching them as a better value than their competitors. "The Jaguar brand is on the eve of a major transformation that will see it dramatically increase its presence in the United States luxury marketplace with an expanded lineup, pricing focused on the core of the luxury market, and an all-new ownership package with best-in-class coverage," Joe Eberhardt, CEO of Jaguar Land Rover North America, said in a statement. The brand's quality and reliability dings have also lurked in the back of buyers' minds for decades, though that's an outdated notion. Jaguar placed third in J.D. Power's Initial Quality Study in June and was the top-ranked luxury brand in J.D. Power's Customer Service Index in March. Not content, the company is rolling out an enhanced program called Jaguar EliteCare that launches on 2016 models. It offers a five-year, 60,000-mile limited warranty, the longest among its competitors, with free scheduled maintenance during that period. The plan also covers roadside assistance and connectivity features.