2008 S6 owner here

I’ve had my S6 for a few years now and still don’t know what this knob does???
I know the car has a Milltek exhaust.
I know that I spent a crap ton of $$ getting the upper oil pan leak fixed along with a new intake manifold at the same time.

Any ideas what the knob controls?

You’re gonna have to ask the original owner that’s aftermarket

That’s what I figured.
I know the shop that the exhaust was installed, maybe they have records by VIN and can help me.
Plus side, they’re local so I could drop in and ask.

Looks like it could be a retrofitted rehostat that comes on C5 audis in europe to control the headlight range

I reckon it is for headlight control.
When loaded the car will sit down at the back and, without adjusting the height of the lights, will dazzle oncoming cars.
Test it at night by pointing your car at a wall and see if the beam goes up and down; dipped only.

Well I finally went out and started it in the driveway with the headlights pointed at the garage door. No change in lights at any of the 3 positions.
Still trying to figure it out.
I forgot to add in the OP that I occasionally hear "defense mode activated ". If sounds like it is coming from that area.