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The GT didn't need to be faster that a lot of cars. It gave those who wanted a RWD v8 coupe an option to have some fun with occasionally. If a buyer wanted a Mustang with more performance in the 4th gen they could have a Bullitt, a Mach1, or a Cobra. With the 5th gens they could have a Bullitt, a BOSS, GT500, etc.
That just seems to be Ford's modus operandi.
Would it have been nice if the likes of Mach1's drivetrain, or the 5.4's the Aussies were using at the time, were the standard in GT's in the 99-04's? Yeah. But they know that they can easily get that special edition money from the enthusiasts.
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'03 SVT Cobra-SC4.6L V8 || modded with mods'n'stuff
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