The first call chooses the function template specialization - because it's a better match.
Let us label both overloads:
template<size_t N> void cm(const char (&h)[N]) // (1) - the specialization
{std::cout << " const (&)[N] " << endl;}
void cm(const char * h) // (2)
{cout << " const char * " << endl;}
For (1), car binds to a reference. That is an identity conversion1.
For (2), after the array-to-pointer conversion of car, which yields char*2, a qualification conversion has to be done so char* becomes
char const*. That is now invoking this:
Standard conversion sequence S1 is a better conversion sequence than
standard conversion sequence S2 if
S1 is a proper subsequence of S2 (comparing the conversion sequences in the canonical form defined by 13.3.3.1.1, excluding any
Lvalue Transformation; the identity conversion sequence is
considered to be a subsequence of any non-identity conversion
sequence) or, if not that,
- […]
An array-to-pointer conversion is an Lvalue Transformation, so it isn't considered here - just as in the second example. The qualification conversion has an own category though: Qualification Adjustment. Therefore the conversion to the parameter of (1) is a subsequence of the conversion to the parameter of (2): The first is an identity conversion and the second a qualification conversion, and according to the paragraph above an identity conversion is a subsequence of any non-identity conversion. So (1) is chosen.
As you already mentioned yourself, in the second case the conversions are equally good; The quote above does not work since the conversion to (2)s parameter is not a subsequence of the conversion to the parameter of (1). Hence, [over.match.best]/1 applies.
Given these definitions, a viable function F1 is defined to be a
better function than another viable function F2 if for all arguments
i, ICSi(F1) is not a worse conversion sequence than ICSi(F2), and then
- for some argument j, ICSj(F1) is a better conversion sequence than ICSj(F2), or, if not that,
- the context is an initialization by user-defined conversion […], or, if not that,
F1 is a non-template function and F2 is a function template specialization,
So (2) one is chosen. If the function template wasn't a template but a function with parameter
char const (&)[8] the call would be ambiguous as Clang correctly says.
1 [over.ics.ref]/1:
When a parameter of reference type binds directly (8.5.3) to an
argument expression, the implicit conversion sequence is the identity
conversion, unless the argument expression has a type that is a
derived class of the parameter type, in which case the implicit
conversion sequence is a derived-to-base Conversion (13.3.3.1).
[dcl.init.ref]/5 (which is in 8.5.3):
In all cases except the last (i.e., creating and initializing a
temporary from the initializer expression), the reference is said to
bind directly to the initializer expression.
2 [conv.array]:
An lvalue or rvalue of type “array of N T” or “array of unknown
bound of T” can be converted to a prvalue of type “pointer to T”.
The result is a pointer to the first element of the array.
T can be cv-qualified, and so would the type of the pointee be. Here T is just char, so the pointer is of type pointer to char => char*.