A drive axle assembly includes first and second axleshafts and a drive mechanism coupling a driven input shaft to the axleshafts. The drive mechanism includes a differential assembly, a planetary gear assembly operably disposed between the differential assembly and the first axleshafts, a transfer clutch and first and second brakes. The first brake is operable with the transfer clutch and the planetary gear assembly to increase the rotary speed of the first axleshaft which, in turn, causes a corresponding decrease in the rotary speed of the second axleshaft. The second brake is operable with the transfer clutch and the planetary gear assembly to decrease the rotary speed of the first axleshaft so as to cause an increase in the rotary speed of the second axleshaft. A control system controls actuation of both brakes and the transfer clutch.