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I just spent a week with a Sonata as a rental car, and I have to admit it's damn impressive for a vehicle that starts under $20k. I had an Accent the week before that, and the difference between the two is night and day.
I haven't driven their RWD offerings, but from casual inspection they're still not at the level of refinement you get from a BMW, even in the higher end stuff. I do see them as serious competition for Toyota and Honda, and to a lesser degree GM and Ford. They're offering very good value, and what seems to be quality vehicles at the price.
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