Hi RAREM5
The whole point of the CDV was to slow the flow of hydraulic fluid into the clutch master cylinder to a constant rate. This would make the clutch engagement more predictable and reduce driveline shock due to dropping the clutch (no matter how fast you release the pedal the clutch plate engages at a contant rate).
In theory it sounds good... the problem is that most people who buy $50K+ sport sedans actually know how to drive a manual and end up fighting with the clutch when trying to modulate on a launch. In general it makes the car hard to drive and increases the amount of slip on the clutch.
Fortunately this little deamon only made its way into the 540 & 530. I've confirmed (via the parts CD) that the M5 doesn't have one. Once I have my M5 (looking like it will arrive sometime between 12/24 & 12/26

I'll confirm in person. If you would like to crawl under your car to verify yourself checkout the Tips & Tricks section of
www.bmwtips.com for some pictures of what the CDV looks like.
Have fun!
-Andrew