No, the Microsoft Sidewinder and 3D Pro indeed used a "space-age" optical decoder at the base of the handle to determine positioning (except for the rudder axis, which was a pot) which IMHO was the most precise troublefree stick I've ever owned in that regard.
However, both Microsoft FF sticks I had pots that were moved by the motor bands, but must have used some sort of electronic smoothing, because I never experienced any spiking whatsoever with it.
However, I went through 2 of them in little over a year, because the way they designed the hat switch, the right microswitch would "drop out" as the accuator wore down, and they were rediculously difficult to replace.
I feel bad that my own CH stick seems to have worn excessively - I don't feel like I'm heavy handed on sticks - except the POV hat, which I press about 300 times a minute.
Anyway....