I've had both, and i'd say the N52 is a far superior engine. Currently have the M54 in my 330 cabriolet, it just feels a bit strained top end, where as the N52 just feels torquey all the way up to the red line. I've had both engines in Z4's, one a coupe (265bhp) and one a roadster (231bhp) the N52 wins every time for me, its a much more modern engine which is a little bit better on fuel. The M54 has been around since the early 90's in the M52 deritive, where as the N series engine with the magnesium block, are a lot newer & were only released circa 2005.