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In Reply to: Don't underestimate the significance of horsepower posted by Robert A on April 24, 2000 at 09:20:21:
HP is basically a product of torque and rotational speed (RPM). In order to generate more HP, you can either increase torque, or have the engine rev higher. Your example of fork lift not being able to go fast is because fork lifts are not designed to go fast, not because of the engine alone.
Now back to the E39, with 225HP at upper end vs 193HP, you may gain 5-10MPH at the upper end, but the top speed is electronically limited anyways, so you won't be able to _see_ the gain unless of course you chip it and remove the top speed limiter. What's more important is the torque _curve_, not the peak torque.