Anyone concerned with this also?
Speedo will say approx 122km/h and then if i reset the display to show average speed in the readout, it will say 115km/h, all this while on flat surface and cruise control engaged. Why such a discrepancy? More importantly, which is closer to the truth?

The speedo is intentionally set 5mph fast from the factory according to Audi. This is an offset and not a percentage error, so it should be 5mph high at any speed. I am told that the odometer is right on. Assuming this input is used to drive the trip computer, it should be the more accurate reading. Your observations seem to support this assunption.

unless, of course, you were running 1-2 fast at the low speed and the 4-5 mph fast comment is relative to 80-100 mph.

Is more accurate.

I did some testing on my car with a GPS and the Vag Com (tire size may affect some readouts) and in general my speedometer read 10 kph or 6 mph high.

The readout from the speed channel through the Vag Com was spot on with the GPS reading.

Mine runs 4-5 mph off as well at almost any speed above 30 mph. The Escort 9500i has this neat little feature- it displays your actual speed when it alarms. It's always 4-5 mph slower than the speedo is reading.

Can't say the same for my wife's BMW---when the laser alert went off last August and the detector read 83mph, that's exactly what the cop wrote me for....

At 120 on the speedo, it's 114 on the readout.
At 60 on the speedo, it's 57 on the readout.
Looks like they have made it a 5% difference between reality and the speedo readout.

According to the DOT, your speedo calibration is allowed to be up to 4.8% off. Remember this next time you get a speeding ticket.