The icelink is much easier to use, and if desired, it can function under the iPod's user interface, or under the radio based user interface. Let me explain - under apple UI you can use all the controls on the iPod as if you were still listening through head phones, under this system the steering wheel controls still function to move between tracks and adjust volume. If you want, you can choose five of your playlists to have on the presets, and because the icelink functions as the the CD changer (assuming you don't already have one) you select the playlist by selecting the cd. If you use the iPod like this, you don't have to have it within reach to control it. Rather than naming five playlist based on what you think you might want to listen to, you can select five playlists on the iPod, on the go, whenever you want, or forget it all together and select songs and playlists using the iPod controls. On top of all this, you can apparently change out the iPod adapter for a plain old auxilary input in all of about 20 seconds. I installed the trunk version which plugs into the CD changer adapter, and it took all of about 5 minutes from start to finish, including tucking the cord beneath the carpet! A radio mounted version is also available. The icelink is just easier to use and much more flexible than the iPod your BMW attachment. The customer service is GREAT should any questions arise. To make a long story short: GET THE ICELINK!!!!
Oh, and the icelink also charges the iPod.

Hope I helped.
Joe