I have to say I think they dropped the ball on this episode. There was way too much unneeded chatting going on for one thing. The actual bad guys plot seemed tacked on with the episode really just focusing on the Mike and Sarah relationship, which I find painful to watch.
The previews led us to believe that the bad guys were planning to steal KITT. I thought this was going to be tied into last weeks episode because Billy said "She downloaded everything we have on KITT." Instead not only was that line not even in the episode, the bad guys were never even a remote threat. I didn't care about them, or really anything that was going on in this episode. I kept waiting for the stakes to go up, and nothing happened.
The episode just kind of fizzled out for me.
Come on writers, give us some meat. I understand wanting to keep the episodes mostly stand alone, but there needs to be a better over arching plot as well so that we actually care. You could kill off almost any character on this show and I'd feel almost nothing.
Side note: I'm looking forward to the "reboot" and I hope they've really put some better thought into what this show is going to be going forward. There has been some good episodes, but it's time to get serious if Knight Rider is going to make it into season 2.