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This mule is the first evidence Jaguar is working on a 3 Series fighter

Rumors of an entry-level, BMW 3 Series-fighting Jaguar sedan have been floating around for quite some time, but thanks to our intrepid spy photographers, we now have visible proof that such a model is, in fact, in the works.
Despite this tester's XF fittings, it's clear that what lies beneath is an entirely different beast. The doors have been shortened, roofline adjusted, rear deck lopped off and exhaust replaced, giving us a better idea of the new sedan's smaller dimensions and details. The new Jag, which may be dubbed "XS," is expected to ride on Jaguar's PLA (Premium Lightweight Architecture) platform, touting weight-saving materials that should do a lot to keep overall heft to a minimum. Both turbocharged four- and supercharged six-cylinder powertrains are expected to be on tap.
Codenamed X760, the new small sedan will reportedly hit the market in 2015. Earlier reports have indicated that a new crossover - Jag's first ever - riding on the same platform will arrive shortly thereafter, so that suggests that the platform will be fitted with all-wheel drive as well.

Jaguar's V8-powered XE looks to take aim at the BMW M3

It seems that Jaguar's littlest sedan is about to get one of the company's biggest engines. One of our spy photographers caught the company testing a disguised XE. While most people's first instincts would be to dissect the car, our photographer paid some extra attention to the number plate, and looked up the car's registration. He says the registration reveals that this little car is packing a 5.0-liter V8. The only sort of 5.0-liter V8 Jaguar makes is supercharged and makes 550 horsepower or more. So what we're probably looking at is a future 550-horsepower XE R. On the car itself, there appear to be larger intake vents on each side of the front bumper, likely for cooling off a much bigger, hotter engine. And of course a more aggressive appearance. The V8 theory is further backed up by the quad-tip exhaust that clearly needs more development. Aside from these changes, this XE looks pretty similar to the sportier models in the current range. It has the same side skirts as the XE R-Sport and XE S. It also uses the same wheels as the XE S. We can safely say that at least the wheels will be different when the V8 model reaches production. As for when that will be, we'd say don't expect to see a revealed production model for at least a year, and possibly more, since there appears to be a decent amount of development left to do. Related Video:

2020 Jaguar XE P300 R-Dynamic S Drivers' Notes | A divisive sport sedan

The 2020 Jaguar XE in P300 R-Dynamic S trim is the quickest and most aggressively styled version of the XE available after its 2020 update. We lost the characterful and punchy supercharged V6 (and diesel), and in its place we found two turbocharged four-cylinder gas-engine options. The P300 is the high-output version of this engine, producing 296 horsepower and 295 pound-feet of torque. It’s mated to ZFÂ’s excellent eight-speed automatic transmission and sends the power to all four wheels. There's an updated interior for 2020, adding in a few extra tech features and upgraded material quality. The cabin is typical Jaguar fare. It looks great, but can be overly complex in ways other cars arenÂ’t — take the confusing climate/seat controls as one example. But Jaguar also spent some time improving its exterior looks. Our red tester was striking and classy with the wider grille, sculpted front bumper (exclusive to the R-Dynamic S) and thin new headlights. All this pageantry comes at a price, though. This particular XE starts at $47,290, which is already fairly expensive for this class with its level of performance. However, a number of options caused this carÂ’s price to climb up to $63,125. Yowza. No single option or package was to blame, as this car has a number of expensive extras on it. The $1,950 Technology Pack added the digital rearview mirror, dual stacked touchscreens, head-up display and wireless phone charging. A $1,700 Drive Pack tacked on blind-spot warning, high-speed emergency braking and adaptive cruise control. The $1,365 Connected Navigation Pack added navigation, traffic sign recognition and internet connectivity. Then, a $1,315 Dynamic Handling Pack added in the adaptive suspension, configurable drive modes, red brake calipers and a spoiler. It also had 20-inch optional wheels ($1,700), 16-way heated and cooled front seats ($1,500), carbon fiber trim ($1,100) and a Meridian surround sound audio system ($800), among many other options. Road Test Editor Zac Palmer: Jaguar simplified the XE greatly for the 2020 model year, and while IÂ’m sad to see the supercharged V6 go away, this turbocharged four-cylinder is still a good little mill. ThereÂ’s a slight pause as you wait for boost to build, but itÂ’s quick enough to have some fun on the commute back and forth to work. Its forward thrust is comparable to others in the class with four-cylinder turbocharged engines — IÂ’d place it about midpack on the butt dyno.