Sorry Tony, but you're wrong! You are definitely correct that there will be smaller volume of large V8's, but there is nothing close to the end of performance cars coming. People have been saying that since 2004, just as the performance car wars have not only heated up, but reached total absurdity. I have been telling people that if they like the current GT500 and the "recipe" for that car, they should buy one. That said, if you are a performance enthusiast, the next SVT Mustang in the pipeline is certainly nothing like a Mustang II, and it has me very excited indeed. And it is definitely not gutless.
They just introduced a 355 hp Explorer and my OEM Twin Turbo Flex family hauler bread box runs nearly the same quarter mile my V8 Mustang did just over 10 years ago. High end cars are getting KERS systems and supplemental electric motors. DCT systems are so fast that cars with 100 hp deficits are annihilating cars with traditional transmissions. I couldn't help driving around the 458 Spider thinking that the transmission alone would make you need 650 hp in a GT just to try and keep up. OEMs are throwing on R compound tires that pull 1g and last on the street. Exciting times for performance.
It also doesn't hurt that there's a renaissance of car guys near the top of Ford. Raj Nair just became the head of global product development and he is a MAJOR performance guy. Jim Farley is certaintly a performance car enthusiast and has his Boss Laguna Seca off to get a blower "just cuz."