You're correct, a downpipe will not be adding much (performance wise) without software (stage 2 tune) that is accounting for it.
I'm not sure what companies
@It's Sam is talking about but I can confirm APR's stage 2 software isn't just a way to eliminate the P0420 cat efficiency CEL. In fact, some companies offer stage 2 tune variants that do not do anything to the rear O2 sensor reading or code out the CEL...
APR stage 2
test pipe file disables/codes out the rear O2 sensor (prevents/masks P0420 cat efficiency CEL)
APR stage 2
non test pipe file does not disable/code out the rear O2 sensor (does not prevent/mask P0420 cat efficiency CEL)
O2 spacers absolutely work but will require some trial and error. The specific component of a downpipe that makes this a trial and error process is the cat. Not all cats are created equal and, cats are wear and tear components that degrade (perform worse) over time. If you have no cat and/or a low-grade/worn out cat and you try to eliminate an efficiency CEL (that isn't being eliminated by the tune) with an O2 spacer, you will likely fail or have a very hard time doing so.
To pass most state's emissions, you can't run a tune that is preventing/coding out the CEL, you will fail due to readiness issues. This is why you read people stating "Stage 2 tunes won't pass emissions, you need to revert to stock/stage 1 and/or reinstall the stock downpipe" all the time. However, with a stage 2 tune that isn't preventing/coding out the CEL (APR stage 2 non test pipe file, as an example), a downpipe with a cat that isn't garbage/worn out and an O2 spacer, you can pass. Unless of course you live in a state that does a visual inspection too as part of the emissions process... then you're fucked and have to revert back to the stock downpipe.
I pass NYS inspection/emissions with my APR downpipe, APR stage 2 tune (
non test pipe file) and an O2 spacer (
Vibrant J - smallest fitting). All my monitors are in a "Ready" state and this is how I drive my car everyday, no CEL. I've been running this setup since June 2020 (almost a year with no CEL). I did have my O2 spacer removed a few months back to see what would happen and, within the first 60 miles of driving, P0420 cat efficiency CEL. Cleared codes/put it back, no CEL since/all monitors ready. I will pass emissions when I go to have it done in June, running a downpipe, running a stage 2 tune, with an O2 spacer in place, unless my cat becomes too degraded.
I have 44,000 miles on my APR downpipe for further reference*