Agreed.
Keep the factory intake & air filter box.
Though I'm unsure if the 700-series with Turbo use a preheater inlet. I sort of doubt it as I've not peered into many Turbo 700 and 900 models of late.
Yet like we do on the 240, granted for state emissions inspection, like CA-state and NY-state inspecting the emission controls and what dash lights remain on after the engine starts (as your 780 is not OBD-2), remove the preheat flap valve inside the air filter box so you have two cold air inlet holes on the upstream side of the air filter box, for a strictly cold air intake. Use a quality filter like Mann and follow Uncle Chuck's advice.
Still though, turbo redblocks with LH-Jet do not have a preheat warmed air inlet from an exhaust manifold heat shroud, yeah? I forget. At any rate, there you go.
On the 240, and in those states that do not care, remove the preheat hose between the exhaust manifold heat shield and the bottom of the air filter box. Inside the air filter box, remove the flappy valve assembly. You get a bit better throttle response, yet a 3800# auto with a 300# driver, well, you ain't gonna go no where all to fast, yet it kicks a bit more.
Happy Friday Everybody! Each and everyone and their rear wheel drive Volvo auto!

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