I just updated by 60GB Ipod video to firmware 1.2.1 and it fixes the problem with the BMW ipod adapter that came with 1.2.

Getting the upgrade installed was a major problem as I ended up in an infinite look where itunes would tell me the ipod needed resetting before upgrading over and over again. I ended up deinstalling itunes, backgrading the ipod to 1.1.2. Reinstalling itules 7.0.2 and upgrading the firmware before syncing any tracks to the ipod.

Chris.