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Updated Info
Thanks to everyone for their input.
Yeah you can't rebuild an early motor for that money. It seems that Porsche engines at least in the new models are an FRU (Field Replaceable Unit). You don't rebuild a 996 you just order a crate motor and drop a new one in.
Porsche is providing the engine, crate motor, at a substantial discount, (most engines last longer than 4 years and 75K miles, so most of the cost is dealer labor to install it.
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