It does sound like the TV module has locked up (in some strange way).

Disconnect the main plugs into the unit (ignition off, and i-bus in sleep mode).

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Sept 03, M3, Silver Grey. Retro-fits: Modded Mk4 DVD Drive, OEM Bluetooth, VR Control, Rainbow Speaker Upgrade, Sony SOT Amp, HK Sub, CCFL, Intravee II, NightMode.