Rumors have been floating around that Audi is planning on chopping the Lamborghini Gallardo's V10 in half, throwing a turbo on it and installing it into the new TT coupe. The resulting 2.5-liter, turbocharged five-cylinder would produce an estimated 350 horsepower, according to Todd Lassa from Motor Trend who reported the project was being developed under the working name of TT-Lambo.
AutoExpress, however, is reporting that Audi has nix'd any plans to build a TT faster than the current TT S-line in order to leave room for the upcoming R8 "everyday" supercar, which is expected to use a version of the Gallardo's V10, as well. While we certainly respect Audi's desire not to produce vehicles that compete with another in the marketplace, we hardly think a 350-hp, front-engine sports car competes on the same level as a 500-hp, mid-engine supercar (the Gallardo develops 500 horses, so we assume the R8's power will be around that number, too). Audi seems to be doing pretty well without our advice, though.