After reading other posts, I realized that the terms may be being used synonmously - I hope this isn't too anal......, but I Found a link that briefly explains the differences :
4WD or AWD ???
FWIW, When I say 4x4, I think of a truck (with wrist thick axles as opposed to a CUV with axles the size of a finger), part time 4-wheel drive with rear limited slip differential.
Here is the text as well:
4WD and AWD systems explained
A word of caution first. Manufacturers tend to obscure the true nature of their 4WD/AWD systems behind phantasy names like "Active 4WD", "Quadra-Drive", etc. - others might call their automatic AWD "Real Time 4WD".
There is plenty of confusion about what is what. Does it matter? Can't you just call "four wheel drive" "all wheel drive"? Yes you could. If all eight wheels of your big truck are driven, isn't it all wheel drive? Yes it is.
However, there are so many different 4WD systems on the market now that it is important to be precise and specific. It is important to call AWD when it is AWD and full time 4WD when it is full time 4WD. Just to say 4x4 is not sufficient any longer.
Wrong terms lead to misinformation - intentional or not. Wrong terms might make you buy something you neither want nor need! Do your homework before buying a 4WD - to get what you really need. If necessary, ask me.
There is no sanctioning body who ever established the definition of terms regarding 4x4. The terms I use below are the ones used internationally by engineers and competent magazines.
4WD has been invented a very long time ago and various concepts have been tried. Here is a simplified synopsis of what is what. Links within this page provide detailed insight.
#1 Part time 4WD is a system that can only be used part of the time in four wheel drive.
This 4WD system was created to provide a vehicle with more traction to either carry higher loads and/or to travel in adverse terrain conditions. Clearly purpose built to do hard work. It can only be used for adverse terrain conditions - not for dry pavement.
Typical lever settings are 2WD, 4WD Hi, 4WD Lo.
Very good off-road. Most competent when combined with axle differential locks.
• 2WD setting must be used on dry pavement.
• If 4WD is selected, all 4 wheels are permanently powered.
Prominent examples: 1942 Willys, Jeep Wrangler.
#2 Full time 4WD - also called permanent 4WD, can be used full time on all surfaces including pavement.
Full time 4WD was created to provide a vehicle with more traction and to make 4WD more useful for everyday life. The additional feature of a differential incorporated into the transfer case makes it possible to use 4WD all the time.
2WD is no longer available. Can still be a strong workhorse. Some rough terrain competence is retained - the priority is added stability as a safety gain for everyday driving.
Typical lever or switch settings are 4WD Hi, 4WD Lo. Very good off-road when center diff is lockable. Even better when combined with axle differential locks.
• All 4 wheels are permanently powered.
Prominent examples: pre 2006 Mercedes M-Class, Mercedes G500, LandRover, RangeRover, Toyota Prado, Lexus GX470.
#3 Full time symmetric AWD is similar to full time 4WD - only it lacks the slow speed torque enhancing low range feature. Can be used full time on all surfaces including pavement.
Symmetric AWD was created as a safety feature for modern day vehicles. Not designed for hard work. Clearly a safer, more comfortable vehicle. Rough terrain competence has almost vanished - focus is on added stability and performance.
Limited use for off-road.
• All 4 wheels are permanently powered.
Prominent examples: 2006 Mercedes M-Class, Audi Quattro, most Subaru, pre 2006 RAV4
#4 Automatic asymmetric AWD was created solely as a stability enhancing system. Auto AWD can be used full time on all surfaces including pavement. AWD only briefly activates automatically when stability threatening conditions arise. Essentially a 2WD car with 2WD handling characteristics. Absolutely no adverse terrain capabilities. Clearly built for added road stability and safety.
Not recommended for off-road beyond graded dirt roads.
• 2 wheels are powered most of the time
• 4 wheels are only temporarily powered.
Prominent examples: Volvo AWD, 2006 RAV4, Honda CRV.
A more detailed explanation of the differences between 4WD and AWD.
So, is "real time 4WD" really 4WD? No, it is a sophisticated 2WD car with automatic asymmetric AWD. There is no commonly accepted standard how to name the different 4WD systems - companies and especially their PR departments use terms for 4WD systems very loosely - transparent consumer information is not their priority.
Many vehicles are offered with a combination of 4WD systems outlined above. Very confusing for consumers.
Here is more about why part time 4WD should not be used on pavement