Actually, for pre-LCI, the inner lamps (halogen/reflectors) are used for flashing and high beam.
So, based on alexkhoo's info on LCIs and adding my own, this should be the comparison between LCI and pre-LCI (someone correct me if this is inaccurate or if there are differences within LCI/pre-LCI models, thanks):
Light - LCI 323i | pre-LCI 325i
DRLs: Angel Eyes | Angel Eyes + Xenon/low (outer projector)
Low Beam: Angel Eyes (dimmed) + Xenon/low (outer projector) | Angel Eyes + Xenon/low (outer projector)
High Beam: Angel Eyes + Xenon/high (outer projector) | Angel Eyes + Xenon/high (outer projector) + Halogen (inner reflector)
Flash: Xenon/high (outer projector) | Halogen (inner reflector)
Difference in Xenon/low and Xenon/high would be the position of the plate in the projector light. In /low mode, the plate allows only a shorter throw for the light beam, while in /high mode, the plate allows a longer throw (ie further away) for the light beam, thus illuminating a longer distance away.
On LCI models, the inner projector is a dummy light.
Not so relevant to us here, but I remember reading in US E90 forums, about their DRLs, and I get the impression that for US pre-LCI models, their DRLs use the halogen inner reflector lights (at low power). Anyone else get the same impression?