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The issues have been fixed (archive)
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Posted by Digi on February 25, 2002 at 17:58:34:

In Reply to: XK8 Nikasil concern posted by Jon on February 25, 2002 at 17:40:16:

just like the early problems with Rotary engines Cadillac 8-6-4 engines, etc. The Nikasil coating is used today in the Jag 8 cylinder engine, Ferrari 550 Barchetta, Porsche 911 GT2, and other high-end engines. I haven't heard of unusual engine failure since the BMW catastrophy. The manufacturers wouldn't be taking another chance unless they were certain to have corrected the problems. Don't let this fear stop you from buying any one of these fine machines.

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