Since we don't know the exact audio options you have...plus we can't see what you're doing you may get more help if you either post the last 7 digits of your VIN (so they can do a VIN decode)...or do it yourself and post your audio options.
Throwing out some suggestions just from being in the dark to what you have and what you are doing/seeing:
- You may need to use either a special "white Y" cable (that gets mentioned often)...and I believe there may be a special BMW cable that you may need to get your device and the BMW to communicate with each other to play music that is uploaded to your device.
- When you say you can see "it" but its not in white...have you gone to SETTINGS --->>>CD/MULTIMEDIA and selected EXTERNAL DEVICES? If not, try that, then once external devices is selected...does your iPhone appear?
Hopefully the e70 owners that have the same set-up you have will chime in and be able to guide you better.