Yes....the DSP amp will need to be coded. The E38/e39/e53 can all use the same DSP amp but coding is required due to all 3 having different settings for number of speakers and interior dimensions etc.

When you install an amp from one of the aforementioned models and it is not coded for the model you install it in...it will perform as you have written...the sound will be muddled. The amp produces sound but not the best it should/could be if not coded correctly for the environment (model) it is is set-up for.

Sorry, I'm not sure if any software is better than the other...but you would obviously need software/hardware that can communicate with the audio system to set-up the DSP amp. If no one chimes in, then I'd do a google search (using specific search phrase) or try the audio forums on the popular BMW forums: bimmerforums, bimmerfest, bimmerboard, etc.

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