Yes, real world differences would exist, but when you simulate the part it usually comes out with the same times since it rarely accounts for acceleration/deceleration and read ahead parameters. Smoothness of cut is the real advantage, as you point out, since the motions are continuous with arcs. Here's a video of the part shown being cut with equidistant offset programmed in V24. You'll see that it's obvious that the motions are arc based, even when they are 3 dimensional:
Shinx CNC router cutting Delrin - YouTube
The part did not come out as smooth as I'd like, but the issue was that it was a rapid prototype and did not get fixtured, but rather just double back taped down. There is just enough give in the hold down this way that there is some degree of vibration. If I fixtured it, I'd expect it to be much better, but as a prototype it served it's purpose and has been in testing for some time now.
As for the option for arcs, I sincerely had no idea that others were not getting arcs. I don't recall if "arc-fit" is an option you check, but either way the program is full of G2 and G3 motions. I created the feature the same way I always have, so unfortunately I don't have any insight as to why you wouldn't be getting arcs from it. I'll look into the file later tonight and post what the options are and what options I've checked/selected. I do know that the toolpath preview after you generate the toolpath does not show the arcs, and it concerned me initially that I would be getting a bunch of lines, but when I posted it the code came out with arcs instead and I'd never concerned myself about it since. Again, from the video, I think it will be obvious that I'm getting arcs from the Equidistant Offset feature.