My plan for now, as I have a brand new, never used ipod nano 8GB is to use that as a dedicated music server for the BMW, and the iPhone will simply be used as a phone and portable itunes library. My wife also has an iphone with a slightly different music collection, but we'll just come to some kind of agreement on what lives on the nano.

I for one am VERY happy that the BMW works with the bluetooth on the iPhone, that would have REALLY sucked if it didn't!

I just hope these ipod problems are fixed that I'm reading about form other members here with the 6FL option.