There are advantages and disadvantages to all the control schemes depending on the types of tracks you play, the surface you play, and the car/environment you play.

Most good players play with controller because there are many situations you run into where you want the precision of steering a specific amount around a corner, or you are playing a track where you want to either speed drift (SD) at a specific angle (e.g. fullspeed or higher speed dirt/grass/plastic) or want to keep your steering under a certain angle to no slide (e.g. low speed dirt/grass/plastic).

There are techniques such as neosliding where it is much easier to do them in keyboard as it requires multiple taps in quick succession. It is also easier to play keyboard when you need to make turns where timing of a full steer is important (e.g. ice).

Considering cars other than the stadium car you start getting into situations where one control scheme is far superior than others. The snow and rally environments require smooth steering so wheel is superior there, but controllers are a good middle ground. Desert is faster with tapping movements over smooth steering so keyboard is a bit better there. I recall canyon is a bit better with keyboard as well.

This all applies equally regardless of whether you are playing older or newer games, analog and digital controls are available in all the PC games.