Sata is the motherboard interface -- standard on current boards.
According to Yamaha/FujiFilm:
"Labelflash™ uses an optical drive's laser beam to burn images onto the label side of a disc. Create finely detailed, and clear label designs using Labelflash™ discs."
Presumably the software stores an image that you use to create your personalised label and then if you use their special (no doubt expensive) discs, you can create these labels on the disc's reverse side.
Personally I use a waxy Chinagraph Pencil.
I have found Pioneer drives to be good, though I think it would be hard to find a bad drive these days.
Your DVD installer issue presumably refers to Blue Ray ?