Well, I can't resist either....so here is my take.
I'll concede the following -
It is entirely possible that a modified engine will produce more power at WOT throttle when a K&N is installed in place of the OEM paper filter.
Now here is what I really think -
I personally doubt that the increase in power will be statistically significant, but some people will kill for 2 or 3 horsepower. People do all sort of interesting things in search of a few horsepower. Of course if the engine is heavily modified, then maybe the K&N will be of more benefit, but so would a larger paper filter.
K&N used to include formulas on their web page for calculating the proper size K&N filter for a particular application. They were thoughtful enough to include the filter factor for paper filters as well. I ran through the calculations using their formulas and their filter factor for a good paper filter and discovered that the paper filter on my Mustang was already three times as large as K&N's formula claimed was necessary. Of course a K&N filter of the same size as the paper filter would have been 3.5 times as big as it needed to be, but I doubt the difference would have been detectable.
The "cost" advantage of K&N filters is was over stated. I suppose if you kept the K&N filter for 150,000 miles and only serviced it at the K&N recommended intervals, then maybe you would save a few pennies. However, to save this money you have to spend a lot of time cleaning and re-oiling the K&N filter, vs dumping the paper filter (and all the dirt it has collected) in the trash.
I feel certain that K&N filters allow more dirt into an engine than a good paper filter of the same size. Whether this adversely affects the life of the engine or not depends on lot of other factors. I had a good friend who had a British car with Weber carburetors. The only filter these had were some wire baskets over the intake horns. The car was still running fine at 60K miles. Does this prove wire baskets are a superior filtering media.....I don't think so.
I distrust K&N advertising. It has too many weasel words and the "million mile warranty" is a joke. I'd love to know how many helicopter and tank filters K&N is selling to the government (or governments). One, two, a thousand, ten thousand???? Government bureaucrat are probably not more intelligent than car lovers in general, so I can believe that they tried a K&N filter on a helicopter. I doubt that it would be a popular choice in the long run. I know I will never try a K&N filter on any of my farm tractors. I've lived long enough that I remember how worthless oil bath fitters were in dusty conditions.
If you look around the internet you can find all sorts of filter comparisons. Some show oiled rag filters as great, some show oiled foam filters as terrific. All the test seem to show that paper filters are second best. Somebody is cooking the results.
I don't believe that a K&N filter will provide superior gas mileage when compared to a new paper filter on a properly maintained modern fuel injected engine.
I distrust all tests that compare a freshly cleaned an oiled K&N to an old paper filter. I'd like to see a test where each filter was installed and run under normal conditions for a couple of months and a few thousand miles before being tested for air flow and filtering efficiency. Even K&N admits that their filters remove more dirt when dirty. But I'll bet they conduct the flow test with a nice clean filter. I also wonder how the filter efficiency holds up over a long period of time. I have to believe that the oil coating has to dry out and be less effective after 3 or 4 months. I believe that at some point the K&N air filter stops being sticky fibers and starts being a restrictive hole filter like a paper filter - minus all the pleats.
As far as I can tell the single biggest "advantage" to a K&N air filter is an increase in induction noise. This is even more true for the FPIK. A lot of people confuse noise with power.
People can over oil K&N filters and this can lead to MAF problems. Not everyone does it even one time, but some people do it sometimes. Just another failure point.
In summary, I see K&N air filters as providing very little real benefit while they introduce additional risk factors. For most people, this means they are a bad idea. I am sure there are many happy K&N filter users and I wish them well...but, I'd sure like to do a double blind test to see if they really can tell the difference. Anyone car to finance a statistically valid comparison test? I think I could do one for a couple of hundred thousand dollars.
Regards,
Ed White