The kind of people who cant handle that much power are not the kind of people who will buy such a car anyway.
Yes, but a 10 year old 911 will not have anywhere near as many creature comforts or safety features as an M5. Not only that, but the M5 is probably just as much, if not more fuel efficient than an older engine.
I can see your point in many respects - cars are becoming too lardy, but ultimately people demand creature comforts and safety, so they will be heavy. If you want a lightweight stripped out racer, then there are still plenty of cars from the likes of Noble, TVR and Lotus to do that. I think you are missing the point of the Beemer TBH.
Oh, and to be fair, while 100 bhp / litre is nothing new, its still an impressive figure, by and large.