For quite some time now, Ford has given to Europe one of the hottest little hatchbacks on the planet. We are of course referring to the Ford Focus RS, a turbocharged compact that has carved out quite the reputation for itself in the old world. But what about the next-generation Focus RS?

Ford has been mostly mum on the rumors, even those that imply that the Focus RS is being delayed. But a new report from Piston Heads suggests that the Focus RS is indeed in the works, and it could have upwards of 350 horsepower, in addition to some fancy differential technology.

350 horsepower would be about par for course for the Focus RS, which has seen standard editions hover around 300 ponies for the past few years. Special editions of the Focus RS were closer to 350 horsepower, but that would mean Ford would have to add at least 100 horsepower to the current 2.0 liter EcoBoost engine found on the Focus ST. Then again, it could simply share engines with the next-gen Mustang, which is rumored to get a 310 horsepower 2.3 liter EcoBoost four-banger.

While Piston Heads talks about rumors of all-wheel drive, most likely the next Focus RS will stick with turning just the front wheels. But worry not; a new active differential is being developed to prevent torque steer. This could be a revolution in how front-wheel drive cars apply power for the ground.

The Focus RS is still a ways out, as is any confirmation of these rumors. But it sure sounds like Ford is designing another winner.