Mercedes-AMG’s New BMW M4 Killer May Have Over 700 HP

The premium compact coupe segment is about to get a lot more interesting, with the upcoming Mercedes-AMG CLE 63 returning to V8 power as it aims to lure BMW M4 owners in. And there could be a lot more oomph than we were originally anticipating, with more than 700 horsepower now looking very likely. Affalterbach has just launched the tiny CLA 45+ with 671 hp, or as much as the current C 63, and that means the coupe version of the C-Class (the CLE 63 spied in these images) needs to stake its claim as the current king of the lineup.

Mercedes-AMG’s New V8 Power Plant Will Come in Multiple Forms

Earlier this year, Mercedes-AMG CEO Michael Schiebe confirmed that a new V8 will arrive before the end of 2026, and this 4.0-liter twin-turbocharged flat-plane crank V8’s output of 530 hp and 553 lb-ft of torque in the new S-Class is only a starting point, with three power levels planned. The new AMG-tuned version will debut in the CLE 63 coupe seen here (a convertible CLE 63 is also coming), but there’s also the ultra-low-volume CLE Mythos on the way. This has been rumored to develop 646 hp, but we think the CLA 45+ producing 671 hp means the Mythos-branded range-topper will have to do better, not only because it will be more exclusive, but also because the CLE is a bigger car, and automakers never give their performance-focused products at the bottom of their product offering ladder more power than those with higher status.

But even 700 hp may not be the limit for AMG’s new M177 EVO V8, as a Black Series special edition of the AMG GT is also on the way. With the help of electrification in the form of the axial flux motors seen in the CLA AMG and the new AMG GT 4-Door EV, north of 800 hp seems easily attainable, but both the AMG GT Black Series and the CLE 63 are expected to be mild-hybrids, not plug-in hybrids, so those motors may not have a place in those applications.

Mercedes-AMG CLE 63 Styling Won’t Be Wild

While BMW is heading in a more aggressive aesthetic direction with its M Vision Neue Klasse concept, previewing the next M3, Mercedes-AMG is not going overboard with the styling of the CLE 63. This prototype, spied in Austria, is wearing plenty of camouflage, but its front end still looks fairly traditional, with a large AMG grille in the center of the bumper, a horizontal intake underneath, and C-shaped inlets for brake cooling on the sides. Subtle bulges in the hood hint at the 48-volt mild-hybrid V8 underneath, and slightly swollen arches help widen the track so the CLE 63 can put its power down. A sleek roof features a glass sunroof, and at the back, the trunk gets a small lip spoiler. Both the headlights and taillights will feature daytime running lights in the shape of Mercedes-Benz‘s Three-pointed Star, and the rear bumpers gets four square-tipped exhaust outlets as usual. It’s unclear why this particular prototype was being used to tow a trailer, but that fact suggests the development program is far along. We’ll learn more in the coming months.