Is ATRAC on all the time?? No.

ATRAC shuts off at around 40 mph (this applies to Toyota, Land Rover, and Mercedes systems). Because beyond this speed, it's not needed. Momentum is the most important thing from that point on. This is where VSC plays an important role. VSC (stability control) functions to alter momentum to prevent oversteer or understeer.

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2004 Mercedes G500 Black (off-road toy & expedition vehicle)
2008 Toyota Sienna Salsa Red Pearl 2wd Limited (daily driver)
2009 Acura TSX Palladium (wife's car)

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