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What is the purpose of the M2's active M differential?

I've been hearing a lot about the active M differential in the BMW M2, can someone explain what it does and how it differs from a regular differential?

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The active M differential in the BMW M2 is designed to improve traction and handling by constantly adjusting the power distribution between the rear wheels. It also has the ability to fully lock the rear wheels together for improved performance in sharp turns.

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