Goodness gracious! This is the most powerful Morgan of all time

This reads as a brand-heat event more than a unit-volume inflection. For Ferrari, the risk is not immediate displacement but narrative erosion at the margins: Morgan is signaling that a legacy, low-volume sports-car maker can keep stretching the spec envelope without abandoning heritage, which reinforces scarcity/value pricing across the enthusiast segment. That matters because the ultra-premium buyer is paying for identity as much as performance; when a niche brand credibly upgrades power and chassis without losing character, it validates the entire "analog luxury" category.

The second-order winner is likely BMW’s powertrain business and specialist component suppliers, not the headline OEM. Morgan’s willingness to keep scaling with an off-the-shelf straight-six underscores how economically attractive outsourced ICE architecture remains for small-volume manufacturers that cannot justify bespoke electrification spending. That creates a subtle tailwind for suppliers with high-margin low-volume performance parts, while keeping pressure on larger sports-car OEMs to defend pricing through software and electrification rather than pure mechanical differentiation.

For Ferrari specifically, the overhang is not demand destruction; it’s comparison shopping at the margin. A buyer who wants the emotional signal of a traditional sports car may see less reason to pay up for incremental horsepower if Morgan can deliver a distinctive experience at a materially lower ticket. The real competitive risk is more pronounced over 12-24 months if boutique brands continue to prove they can modernize without losing authenticity, because that constrains Ferrari’s ability to expand volumes purely through heritage premium.

Contrarian view: this is mildly bearish for the notion that legacy sports-car scarcity alone protects pricing power. The market usually treats small-brand launches as irrelevant, but they can be powerful reference points for affluent enthusiasts deciding whether a 911, Ferrari entry model, or niche heritage car best preserves identity. The move is likely underappreciated as a sentiment signal, though not yet a fundamentals event.