"XD" is most commonly used as an emoticon, but Scion also uses it as the name of their soon-to-be-discontinued xD box-on-wheels. Automotive rendering mastermind Theophilus Chin thinks that Jaguar could also use it to take on several premium compact-market offerings in Europe.

Here's what Theo says about one of his latest Photoshop creations:

"That name looks like an emoticon. Anyway here I imagine a compact Jaguar XD hatchback to take on Audi A3, BMW 1-Series and Mercedes-Benz A-Class. I'm keeping it rear-wheel driven."

This could be a genuinely good car that Mr. Chin has thought of. It appears to be based on the XE's aluminum platform, sharing many styling cues and being rear-wheel-drive.

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Mercedes-Benz, Audi, and BMW all currently offer cars of this size across the pond; Jaguar should take this opportunity to jump into that market if they want to increase their global sales tally. If an XD R variant was produced, Jag would have a proper hot hatch to take on the Mercedes A45 AMG, BMW M135i, and Audi S3.

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Tell us what you think in the comments section below, and be sure to check out Theo's work on Twitter (@TheophilusChin) and on his website, TheophilusChin.com.