The difference is the direct-fit (bosch) sensor already has the bosch-style connector on it. The universal does not have an electrical connector on it, rather you must re-use the old one. This involves cutting the wires on the old sensor and splicing the connector to the wires on the new one.
But why waste money on the 3-wire sensor at all? The concept of a "heated" o2 sensor is a joke. Just get the universal one-wire (around $20) and follow the directions here: http://www.homestead.com/volvo2/O2sensor.html
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Matt L. -- Cary, NC -- '91 740 wagon
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