I confirmed today that I too have the dreaded "AWD and DSC malfunction" problem. My indy tried to clear the code, but it came right back. Scope reading confirmed that the steering angle sensor has gone bad. I've been reading up on it on this and other forums, and it seems like it's an all too often occurance -- almost to the point where maybe there should have been a TSB on it, but I couldn't locate one.

Anyway, the damages will be about $800 to replace it, which is probably on the lower end of some of the estimates and invoices I've seen. I've heard about the DYI procedure, but I'm not into that, so I guess I'll just have to put in some overtime for awhile...

Damn, why couldn't that $800 have gone into a stereo upgrade or mod of some kind?

 

Guess the dreaded steering angle sensor caught up with you. Fortunate for me it happened while my '07 was under warranty. This is one of those dreaded issues that will rear its ugly and expensive head - not a question of IF but a question of WHEN. And, yes, it is frustrating paying for expensive repairs where money can be spent doing something else more fun - OR paying for gasoline!

 

I feel your pain buddy. I got SZL done a month ago. It should of been new wheels...

 

haven't some people found there's an easy fix of just cleaning the laser lens? Even if it was slightly tricky, beats splashing out 800+ smackers!

 

+1
My $0.02 Steering Angle Sensor Fix - BMW 3-Series (E90 E92) Forum - E90Post.com

It's worth a try. Be sure and disconnect your battery's ground lead first.