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2019 RAM 4wd overheated performance temporarily reduced

It is generally thought that the clutch slipping in and out in 4auto builds heat and the clutch constantly applied does not slip and build heat.

That makes sense yes, but I'm wondering if that's simple. If you're in auto and the system senses that you just need 2wd and keeps you there (say) 98% of the time, that has to be less friction and slip than a system that is 4wd hi trying to stay there as much as possible, but forces (turning corners applies binding to the system) constantly make the system engage and disengage or whatever.

I'm sure I'm wrong but if I had this issue I'd definitely try auto instead of 4hi just to see what it does. I have run an hour or 2+ on snowy roads in auto and never had any issues, so clearly in some cases the system as designed can work without issue.
 
I just had the same warning on my 2019 Laramie. I brought the truck into the dealer because the 4wd would not engage. They replaced the actuator and did a 4x4 service (replaced fluids). I tried 4 auto as I left the dealer and 4 hi about a mile from home. Both worked fine. I parked the truck and put it back to 2wd. There was a fairly big thump from underneath, after that it would not go into any 4wd mode again. I drove directly back to the dealer. It was 15 minutes from closing so all the techs were already gone and I made an appointment to bring it back today. I tried 4auto again on the way home and it did engage. After about 3\4 of a mile I got the 4wd overtemp, performance reduced warning. I see that in a few of these post, people had issues after replacing the battery. I replaced the battery in early August and this was the first time I've tried 4wd since then. I wonder if there is a connection. Any thoughts on this?
 
Update: 4wd engages and works like its supposed to. No more overtemp warning. I never brought it back to the dealer, it just needed to work itself out I guess.
 

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