P:W isn't everything. You gotta look at how flat the powerband is. I know KB's usually make crazy torque and an awesome powerband, but it seems higher ci engines really excel in that department.
As an example, I was talking with the guys at MTI. Their Stage II Heads/Cam package makes 580rwhp. But their "extreme velocity" completely rebuilt 454ci motor "only" makes about 30 more rwhp than that. However, it makes about 70 more rwtq, and 500ft/lbs at 1800 RPM's. They showed us a dyno sheet of one of them, and the torque curve was literally FLAT. The power curve had a steady incline, and was STILL climbing at the end of the graph (never dropped off). That's where these 6.0+L motors are really getting an advantage. The 5.4L is a very stout motor, but I still think the LS7 is going to make "better" power than they will.
Also, the white and black GT-500's had different gearing. The white one had the stock 3:55 gears, so I pretty much pulled out ahead of him immediately. The black one has 3:73 gears, so down low it's really stout. But once I hit 4th gear, it's over (not to say I'm raping him or anything). The Z06 has very tall gearing, but it has the torque to pull through those long gears. Smaller motors aren't as able to do that, and generally need to have closer gearing for a good powerband.