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Just like with many other electronic features the marketing blob makes it sounds so much more NASA-like. Basically there are 2 major reasons why your suspension compresses. 1st one is due to car's resistance to changing direction causing the car to lean side to side. 2nd one is due to wheels traveling over road imperfections. Reading the input from a variety of sensor already part of the stability control system the car can determine if the shocks should be softer or stiffer and does it continuously.
I have a feeling that this system will eventually be determined to be just a waste of money. But I've been wrong many times before. Mercedes had a very similar active suspension setup about a decade ago which they eventually abandoned. BMW used to have a self leveling suspension on the original M5 which turned out to be a major headache. Even active steering is something that isn't as "game changing" as once believed.
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