Picked up a new S80 3.2 on June 4. Over a 2 month period, drove to the Riviera, back north through Italy, Austria, Germany, and Scandinavia (for home shipment). Lots of driving in crowded cities like Paris, winding back roads as in Provence, Austrian mountain roads, and German Autobahns... the car performed flawlessly. We averaged over 23 mpg in what I would consider some extremely demanding driving conditions and speeds (think Autobahn with cruise set at 150 KPH). On European roads, this is definitely a large car. But it drove nimbly and had no trouble running with the little guys. My Austrian/German relatives and friends thought the Big Swede is a veritable Rocket!
The sports package! In the advanced setting, mountain switchbacks are no problem. The ventilated seats are outstanding. The Xenon headlights are fabulous. The new 3.2 liter engine is smooth, quiet, and powerful.
I already see my only suggested improvement in the 2008 model - availability of a turbo on the new I6 for an additional 50 hp. I would never consider the V8.