Yes - they mean mechanical drag. The entire front drive shaft and front carrier in the diff stops spinning with the front axle free wheeling. They are chasing micro fuel efficiencies.
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According to Kant Experience without theory is blind, but theory without experience is mere intellectual play. ideally, best to have both, experience backed by explanatory theory ( and vice versa).
We do not live in an ideal world so I guess you often have to make compromises. I don't see this as one of those situations ie the answers are knowable.
I would suggest it is confusing because JLR are intentionally being vague about the technology.
But it sounds very much like the BorgWarner Torque on Demand system which eliminates the centre differential and replaces it with a clutch pack to drive the front axle.
BorgWarner TOD[emoji768] Transfer Case - YouTube
It acts like a “differential” because it can vary the speeds between the front and rear, but it is not a traditional differential.
It is old technology that was fitted to the Ford Territory with a single speed transfer case, and then to the F-150 with a dual speed transfer case.
BorgWarner Electro-Mechanical On-Demand (EMOD) Transfer Case - YouTube
BorgWarner also have a front axle mounted drive disconnect unit to completely disconnect the front axle.
By the way- it is also possible that JLR are just using marketing BS here to put a new spin on what the Transfer Case Control Module does.
iAWD has a very specific explanation for what it is on the Range Rover and involves new hardware and software, but has no explanation on what it is on the Defender.
Maybe the Defender just gets the “enhanced” software to manage the clutch pack on the centre diff and there has been no change to the mechanical side.
Very strange marketing.
I would wager you are correct on the marketing spin aspect. A cloud of mystery works well if there has not been genuine innovation.
That Borg-Warner system, now around for many years, does indeed seem clever, "intelligent" even. One of the videos suggested the front wheel spilt is not typically below 20% torque and it senses turning wheels to apportion torque. I think my porsche Macan's "torque vectoring" does something similar and shows a graphical display of torque to front and rear
Anyways, I will try to explore a little further if there is still a difference in the AWD systems between diesel and petrol Defender as this may influence my purchase choice.I'm sure either works well but, a bit like colour, it may come down to little things.
Not sure what the Range rover AWD is or if it carries over to Defender
So found this press release from 2017 which confirms the Range Rover does get the BorgWarner Torque on Demand system.
Enhanced Traction - BorgWarner Transfer Case for Range Rover Velar
The unknown is are they now fitting this to the Defender.
Ah very interesting! Like the videos you linked this article also talks about the "pre-emptive" aspects as well as responding to wheel angles. Not sure if JLR uses this now or some further adaptation that frequently sees front wheel torque at 0% ie RWD.
I found online user and service manuals that refer to workshop manual and with the latter said to explain the AWD system. problem is unable to actually get the said workshop manual.