This is the part that failed, caused the clunking noise and had a good play on my rear drive shaft. It looks like the rear driveshaft connects directly in the rear differential but it has this constant velocity joint in between (part 17).

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4.8is 2004 imola red
4.8is 2005 Black on Black - DINAN/2 sold
4.4 2004 X5
2003 330xi
2008 328xi - sold
4.4 2000 X5 - sold