Does it determine this mechanically, somehow measuring resistance through a wheel speed sensor vs throttle inout, or is it basing it's intervals off calculated miles driven, driving style, etc like the oil service?

see page 22 of the dxc/xdrive training manual

Is this an E70 thing, or does this apply to E53's also?

Also, since it measures the service intervals off of a few different variables, wouldn't the intervals be extended w/ a fluid change since the slip and engagement pressure would change, probably for the better? Obviously the mileage would still be a factor that can only be reset via the GT1.

it applies to all xdrive vehicles.
look at it this way, assume your e70 x5 has a bad battery, the DME monitors the battery to determine amount of output from alternator. you replace the battery, the DME still thinks the bad battery is in there, so it over charges it to compensate, now your new battery has sulfated. you have to register battery replacement via service funtion after replacement.

consider the following, you replace the fluid in your xdrive case and dont reset the values, the control unit now over compensates the xdrive driving dynamics.

I just did DIY oil change to the transfer case. How can I reset the VTG? Does INPA (v5.02) have functions for it? I suppose just clearing the oil change error code is not enough? Is the only way to go to the BMW official service?

inpa cannot do it, you must use the service function.

Ok, thanks a lot.

I guess I have to ask if someone with coding sw in my area knows how to do it or otherwise go to dealer.

Thanks again for the orders everyone and let us know if you have any questions!

Question for clarity (not arguing, just trying to understand): since according to the document above, the VTG monitors for slip, torque, etc. and adjusts accordingly, can it not adjust to the new fluid over time or is it a one way adjustment (only compensates for aging fluid)?

Also, what is the CBS abbreviation stand for?

Thanks!

I posted a DIY on the X-drive fluid earlier this year. I never cleared the VTG values and 8 months and 10,000 miles later there are zero differences in drivability and zero issues with the transfer case.