As follow-up to help provide some different perspective, Audi charges approx $6500 to drop my Q7s engine and reinstall it, such as to fix engine oil seals leaking, etc...they charge almost $200/hr labor rate. Assuming the price of $8k includes all labor charges, which it should if their start # was $20k, all-in, then you are basically getting a new motor installed for only $1500 more than i would pay to get an oil seal fixed on my existing engine with 112k miles on it.

Since your car is outside warranty, they are indeed doing you a 'solid' by extending a 'goodwill' offer to you to help keep you in their customer base. I know it feels like a slap in the face, but that's why both Audi and third parties sell extended warranty, and why you get an extended warranty by paying extra for a CPO, 3yr old, off-lease Audi, etc. Audi is basically comping you for the price of the engine, so basically you are paying the local dealer's labor rate to remove and put it in the car.

Hi, Sorry to hear of the engine problem.

You bumped a thread from 2012, and are posting to the Gen 1 Q7 Forum (2007-2015), not the Gen 2/Mark 2 Q7 model made from 2016 onward. Your car is a Q7, just not one of these.

That said, it's simply bad luck that the spark plug electrode/tip detached and damaged the car. The newer, platinum spark plugs go in and stay in until 100k miles..they don't need to be re-gapped or even looked at unless there is a problem. Once you look into the costs or get a second opinion/quote to resolve the issue, you will likely find that $8k for a new engine, installed and prepped by Audi, is not a bad deal since you basically get a 'new car' for $8k. The engine would be under warranty too, just like all new Audi parts. Perspective is everything; you certainly can't go buy another one for $8k, and of course you'll have a loan car from Audi whilst they do the work.