Originally Posted by aerisolphaln
I do not think the M3 sedan will be a direct competitor with the RS4. The E90 is not as attractive as the small audi 4 door, again with the Quattro, again with the plush Audi interior. I think the RS4 is somwhere just below the M5 but well above the 3 series.
The M3 will compete with the RS4 in the same manner that the 3 series competes with the A4. That is to say that, with the A4 you also get Quattro and the plush Audi interior too, but that does not mean that these cars are not in the same segment and targeted at the same people. Its pretty well accepted that they are direct competitors and so it will go for their respective high performance incarnations.