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One big problem I have with the C5 is wheel hop. I know that this is also a problem for the Z06 (see latest Road & Track test). There are times when I get no wheel hop, and the car will hook-up very well. However, most of the time this is not the case.
Considering that the Z06 also has this problem, I would wager that 9 times out of 10 the Z8 will win a 1/4 mile race with a Z06. However, if the Z06 does not suffer from wheel hop, it may be a closer competition.
Keep in mind that when a magazine publishes a road test, they are publishing the best times that they were able to get. If a good driver was to take the Z06 and test it several times, there would be a larger-than-normal variation of figures obtained for 0-60 and 1/4 mile.
I find it disappointing that GM has not yet addressed this problem, now four years since the release of the first C5 models. For that reason alone, I will not buy another Corvette until the problem is fixed.