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This car needs to have AT LEAST 350Hp to be relevant, and it's not going to come from a 4 cylinder.
A sequential turbo system, as mentioned above might be the answer. IMO the M1 needs to have a better top end than the N54, and for a twin turbo setup that means increasing the size of the turbos, which also increases spool times. With a sequential system you can have a small turbo to build good low end torque with good throttle response and highway power, and a larger turbo that comes online in the upper RPMs to extend the useable powerband all the way to the redline.
The rumors have mentioned a twin turbo version of the N55, but they've also said that it would be substantially different from the existing setup. That makes me think it's going to be a sequential system as is being used on some of the diesels.
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