I think this can be just a case of just using the marketing/media-hype supercruise term to describe fitting a new engine. I'm skeptical, but I can see it being achieved if they redesign the wing. Surely the first unstable aircraft can be made even more unstable and maneuvrable. Supercruise is the new hype, but I can actually see more benefit in making the F-16 more maneuvrable at low speed. Making it slower and better handle at slow speeds. Combine this with TVC and you'd have a killer. It's now just to fragile to operate from on anything other than well prepared airfields, plus with the non-traditional warfare it's doing more CAS than air defense missions.
NASA is considering bringing back one F-16XL for supersonic boom research. So the other one could be used for additional wing testing... it'd be interesting... US industry taking the unstable-delta design further, as the Europeans already did.
Rafale, probably at the same rate of the Eurofighter at that number. 100+ and it gets cheaper. But EADS offers probably better offset deals than Dassault can, so Typhoon has the upper hand, despite being more expensive. But with this dollar, you'd be almost crazy to buy European if you can get US hardware, especially when it's thru FMS contracts.
Mirage F1, the Greeks have already retired theirs. Upgrades so far have been aimed primarily at life extension and updating of systems. It's old, heavy, underpowered, it has too few stores, cockpit is cramped and pilot's view poor. This design is really obsolete IMHO. And with Mirage 2000s soon overflowing the market, I can't see it living on for much longer. When current operators are on full strength with their 3+ or 4/4+ gen fighters, it will quickly be gone I think. It is and if seriously upgraded would be good at the low of the two-tier fighter fleet, but there's only a few air forces that can afford two or three-tier fleets, and they've already got alternatives. Maybe I'm missing one or two here?
But to stop dreaming, getting back on topic. I actually think this is purely aimed at India plus any other potential operators that won't be cleared for the F-35. Interestingly, the latter would mean LM has also serious concerns over the US protectiveness of the stealth technology and what this means for export. It's already seeing it's F-22 being cut at 180ish.
Now, I do feel a bit upset for UAE. They funded the development of the E/F with AESA, FLIR, and what not, on the promise that they would get offset on any sales to other countries. Now, India comes along, which needs to be offered a tailored F-16E/F that can compete with European and Russian fighters, and what does LM, it starts developing a new version, and says it's not comparable to the E/F, meaning they would overthrow everything. Come on, of course it is almost the same, and they'll use all the experience from that project for this new one.
Secondly, they are ruining JSF export potential and with it the profit potential that many subcontractors hoped for. For LM it probably doesn't matter much, whether you earn on one or the other, as long as you conquer the market with your products. I guess it's just business, but I can't believe just how eager they are to get this Indian order. Come on, they would have settled for some Block 50 or 52 with a promise for F-35s in the future.
It's all about business, soon we'll see how the politicians feel about this all...