Cars have broadly become more powerful over the last 30 years. A low end sports car would have something like 150-200 HP 30 years ago. Nowadays 120-150 HP is almost base model for the lowest priced cars.
Having said that, human beings and their driving needs haven’t evolved much in 30 years. The people that know how to handle or come close to “needing” a 500HP car are few and far between.
There are a lot of sports cars that have more than 500 HP. They tend to be expensive. There needs to be a lot of engineering beyond just a more powerful engine to make a car that powerful function well and that includes things like better brakes, tires, suspensions, transmissions etc. So the demand for them is small.
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