All aircraft engines are run " on condition " If your brand new 2000 hour TBO fuel to noise converter throws a con rod out of bed after 50 hours do you keep going because it still has 1950 hours to run?
Another thought. Allowing manufacturers to set TBO times is like putting a drunk in charge of a brewery. The shorter the TBO the more engines they sell. Tried to obtain some support for this line of thinking from a mate. His only comment was
" It's only a scam if you're not in it " Unfortunately I'm not in it. I'm just one of the mugs at the end of the line.
Mike Busch owns a C310 with TIO 520s. Continental gives them a 1400 hr TBO. He now has in excess of 2800 hours on each of them with all key indicators showing them to be healthy. One of his customers has 3200 hrs on a 2000 hr 4 banger.
I'm told that the airlines and military have operated on condition for decades. I recall reading some time ago that a QANTAS 747 ran an engine for 17,000 hours. I'll bet that engine didn't have some arbitrary TBO.