Yes, DSC was introduced
in the CSi, but not
with it. The First CSis still had ASC+T.
What exactly the differences are between DSC I, II and III are I cannot tell. I think it's the software which provides better algorithms for keeping the car on the road or engaging more smoothly. I haven't driven a car with DSC yet.
But I have driven a Mercedes A-Class once. With their ESP on I thought "Wow, this feels almost like a rear-wheel driven car". I was seriously impressed. But with the ESP switched off the car got
really nasty, showing not only the most brutal FWD characteristics but also its high center of gravity. I haven't driven any other car with that much understeer and body roll.
Never turn off the ESP in an A-Class. However, if you want to experience what modern stability systems can do, the A-Class is most suitable.
The ASC+T in a CSi engages nice and softly, although being more than ten years old. Maybe it's because it is configured differently than in a standard 8 series. In a CSi it engages a little later, allowing you to slightly powerslide out of a turn without it closing the throttle or even braking the wheels.
My impression is that in a powerslide ASC+T in a CSi comes to life when you're sliding so much that it would decrease your lap time. This car even teaches you to drive!
But even without electronics you are fast. That's because M cars have a limited slip differential
although they are equipped with ASC/DSC. Just look at AMG or Brabus... without traction control all they do with their power is burning up rubber on the inner wheel in a turn. Good for safety but it doesn't make you fast.
...Mike