On June 30, 2015, I ordered a new 2016 Audi S4 Premium Plus with a manual transmission and some other nice options. I did not order a sports diff. While waiting for the car to get built and shipped, I started hearing rumors that Audi was going to stop offering manual transmissions in the S4 line. My car was built in August and it came in on September 25th, which was the same day I took delivery. I asked my salesman about the rumors and he said they were true and that I most likely got the last production run with a manual. Good thing because I probably would have refused the car and demanded my deposit back had it been shipped with an automatic.
Unless you plan to track the car or like to push it a bit hard from time to time, the sport diff is not going to make any real difference to you. The car handles better than just about any other sedan on the road and far better than most people have been accustomed to before getting an S4. The manual is a bit notchy when cold but once the tranny and its fluids warm up, it’s good to go. My car has 22,201 miles on it now and never needs to have engine oil added between changes, which for me works out to once a year. In a word, the car begs you to take it out and enjoy it. I do not run my car hard, track or race it, or abuse it in any way so I expect it will last quite a long time. Currently it is box stock (still have several years remaining on the warranty).
Can’t speak for how it does in snow as it has never seen snow. It’s a garage queen and I don’t even take it out in the rain (I have a truck that fills in these times quite nicely).
I have never driven nor have I ever been in an STI so I have no point of reference there, other than the knowledge that they can be made into interesting pocket rockets. One the other hand the S4, and in particular one with a manual, can easily serve multiple roles. You will not be sorry.
So in a nutshell, I would consider finding one with a manual to be significantly more important than finding one with a manual and a sport diff, the manual being the more significant item to have if you are so inclined. And look at it this way. If someone happens to look in your car when it is parked somewhere and sees a manual shifter, that will raise a few eyebrows.
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