It's time for Mercedes-Benz's naturally aspirated 6.3-liter V8 that powered an array of AMG models over the years including the S63 AMG to give its place to a newly developed AMG 5.5-litre V8 biturbo engine that's more powerful yet significantly more fuel efficient.

Showcased here on a cosmetically upgraded and sported-up S63 AMG sedan that pays tribute to the 1971 300 SEL 6.8 AMG, the new 5.5-liter V8 features direct injection with spray-guided combustion and twin turbocharging.

In standard form, the V8 biturbo engine develops a peak output of 544HP and maximum torque of 800Nm or 590 lb-ft. In conjunction with the AMG Performance package these figures are increased to 571HP and 900Nm or 663.8 lb-ft.

In comparison, AMG's outgoing naturally aspirated 6.3-liter V8 churns out 525HP and 630Nm or 465 lb/ft of torque.

To the surprise of no one, the new turbocharged V8 is not only more powerful but also cleaner and more fuel efficient than its predecessor.

Helped by a seven-speed automatic transmission and Merc's Start-Stop tech, the new 5.5 V8 bit-turbo will allow the upcoming 2011 S63 AMG to return a combined fuel consumption of 10.5lt/100km or 22.4 mpg US which represents a saving of more than 25 percent compared to the current S63 AMG (14.4 lt/100km).