I think you're both right. The transmission is not computer controlled, but the tranny does send a signal to the engine/ignition control unit to retard timing during a shift.
Check out this thread.
http://www.peachparts.com/shopforum/showthread.php?t=177090&highlight=Transmission+overload+protection+switch
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'94 E320 with 272,000 miles. '92 500SEL 133,000 miles.
Mods to the '94:
TomTom GPS in place of ash tray,
Auto Dimming Mirror ,Memory seat, DEI 545T Auto lamps, DEI 530T Auto Up/Down Windows, DEI Remote Start,
Motorola Bluetooth® Car Kit,
Built in phone charger using factory phone wiring,
RainTracker Rain sensing wiper,
Keyless Entry,
Ambient lighting of center storage compartment. Soon: factory heated seats, REST
Mercedes-Benz is my addiction of choice.
http://www.youtube.com/vanwiek