The Porsche 968 was sold from 1992 to 1995, and marketed as the replacement for the Porsche 944. When production ceased in 1995, it represented the end of a line started almost 20 years earlier with the introduction of the Porsche 924.

The 968 was nearly dubbed the 944 "S3", set to replace the "S2" variant that Porsche had introduced in 1989. However, Porsche said that 83% of the 944's components were modified or replaced entirely during development stages, so they chose to introduce the variant as a new model, hence the 968 nameplate. Production was moved from the Audi plant in Neckarsulm (where the 924 and 944 had been manufactured under contract to Porsche), to Porsche's own factory in Zuffenhausen. The new model was powered by an updated version of the 944's straight-4 engine, now displacing 3.0 L and producing 236 hp. Changes to the 968's powertrain also included the VarioCam variable valve timing system, a new dual resonant induction, a new exhaust systems with a rare metals catalytic converter, a dual-mass flywheel, and updated engine management electronics. The 968's engine was the second-largest 4-cylinder ever offered in a production car, and the most powerful naturally-aspirated 4-cylinder engine ever sold in a production automobile up to that time. A new 6-speed manual transmission was offered, as well as a dual-mode Tiptronic automatic. Many options were available, including 17” alloy wheels and M030 suspension.

The 968's styling somewhat resembled the 928 although it looks considerably more like a blend of the 993 911, which did not appear until the end of the 968's production and a 944 S2. Like the 944, the 968 was sold as both a coupe and a convertible. Much of the 968's chassis was carried over from the 944S2, which in itself shared many components with the 944 Turbo (internally numbered 951). Borrowed components include the Brembo-sourced 4-piston brake calipers on all four wheels, aluminum semi-trailing arms and aluminum front A-arms, used in a MacPherson strut arrangement. The galvanized steel Unibody structure was also very similar to that of the previous models.

Performance models, such as the 110 lb lighter Club Sport and a 305hp turbocharged "S" version, and a 350hp turbocharged "RS" version, all of which offered sportier suspension, were available in ROW form, but were never imported to the U.S.

Over the 4 years of production, only a little over 12,000 cars were sold worldwide, with less than 5,000 shipped to the North American continent. Original sales price started at about $55k and dropped dramatically by the end of production, as lower priced Japanese competition, and the unwillingness of the public to embrace a front engine 4 cylinder Porsche spelled doom for the 968.

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