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A failed O2 would toss an CEL error.
You sure anything is actually wrong? It looks like it's doing a throttle cut at high RPM (tire slippage?)
Previously in life, EFI vehicles always went into open loop mode under hard acceleration since O2 sensors did a bad job of reading rich mixture. These cars run pretty lean under load in comparison, so I don't know if the O2 is used for acceleration as well.
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