My wife and I just got a 2008 Cooper S and it seemed to set up ok for us. We got the dealer installed NAV and not the factory NAV. The bluetooth on the Garmin set up ok for us, and then we set up the bluetooth for the car. It did take both of our phones, which the Garmin then booted us off - which seems to be ok with us for now. The phone system through the center console seems to let us toggle back and forth between phones.
The ipod function will not work over bluetooth, which I figure is because the bluetooth is only really good for a handsfree device, and not data transfer (Thank you apple). So, my wife's iphone will work for ipod functions when it is hooked up with the "Y" adapter. My phone does all the same things, but when I plug it in and try to use the ipod functions, the console has all of the same controls as it should (it sees the "ipod" and can change music), however, it refuses to play music out of the speakers in the car. It continually plays music out of the speakers in the iphone. Yes, I have the "y" adapter still plugged in properly. In fact, I switch back and forth between the 2 iphones and it plays hers, but not mine.
Granted, I have had some issue with my iPhone dropping me while I surf the net or use the YouTube function and kicking me back to my home screen. I have done a complete restore, and even did a restore as a new phone to eliminate an old preference file that may be corrupt. My wife's doesn't have this problem, and it could be the reason for my issue. I continue to have the issue and will be heading back into the Apple store today. I'm quite frustrated with the iPhone.
Hello... Copy Paste?! Select All?! Bluetooth Data Transfer?!