When under load, moderate acceleration, the car seems to "chug" a little, RPM's hunt around almost like it's not sure what gear to be in or something. It's not a smooth outlay out power, it ebbs/flows more than I would expect.

Is this something to do with the AWD system?

It doesn't do it in sport shift mode, it pulls strong and smooth even under hard acceleration if I'm on the paddle shifters.

Just getting used to the car, not sure if this is something I need to get looked at.

 

Going to modify my description a little. Chug or "bounce" into gear. Car kinda lurches vs smoothly accelerating. I expect some feeling on a gear shift, this isn't a CVT, but it seems like it gets into gear and the car will... bounce, almost like when you land in two low of a gear in a manual.

I know it still has the torque converter software needed, so maybe that is the issue. I have to get it in to get that done yet.

 

Torque converter software right away. That's 90% likely to be the problem. Mine did the same thing when I bought it used. Problem solved after the update.

 

Is this something you go back to the dealership and tell them?

 

Yes. The software update is free. It's covered in a TSB. The dealership should know about it but sometimes they're morons. For good measure, print this off and take it in to them:

http://www.urvi.net/forumfiles/SB/B16-030.PDF