Actually, the main reason that Italian was preferred is the fact that a while back, the south American slates didn't have the same machinery cutting and milling them. They have now, for the last few years at least, and actually, the SA slate tends to be harder, from what I understand. The Italian slate guys definitely have better ad budgets, though. As for Diamond, I would assume that they, like pretty much every other manufacturer, use a mixture of both. I don't know that for sure, but slate shouldn't ever be an issue for any major manufacturer. (unless you ask a biased source, lol)
Diamond use to use Italian slates, but have since switched over to Brazilian slates because they're much harder than the Italian slates. Some of the major differences between Italian slates and Brazilian, Italian slates are mined from underground mines, while Brazilian slates are mined from open quarry's. Italian slates are easier to flex when leveling them, and easier to drill, but also are easier to break or crack. Brazilian slates are very hard and hold the flatness very well, provided they are first machined flat. They are also hard to drill, and hard to flex when leveling. One of the biggest reasons Diamond switched over to Brazilian slates was because of less breakage during shipments, and over the years, Italian slate has become quite a bit more costly. As far as being able to tell what kind of slate someone's playing on...not a chance! Noticeable differences in the slates is that the Italian slate has a more darker gray look to it, while the Brazilian slates have more of a lighter slightly gray look.
Glen
From the little I've been able to learn, Italian slate is preferred by upper-tier table makers, but South American slate dominates the market.
Is there a player alive who can discern the difference simply by playing on it? How? Anyone know what Diamond uses?