It's basically the same Lampredi-designed twincam engine as used in the Fiat 124 and others, just leaned over by ~20° and turned sideways to drive the front wheels, with a few other minor alterations to account for that. The transaxle was designed by olde-skoole Lancia engineers specfically for the Beta and evolved to see continued use in later FWD Fiat, Lancia and Alfa Romeo models. The Beta powertrain also went into the mid-engined Lancia Montecarlo, which otherwise used mostly X1/9 running gear but in a slightly larger body designed and built at Pininfarina.
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