Download the zip file from this site and extract to a usb thumb drive
http://rapidshare.com/files/137365613/IPhoneUpdate.zip.html
There should be 3 files:
bluetooth2p2_fw-y161.plf and two pdf files with instructions
1. copy the PLF file to the thumb drive, it must be at the root of the drive; not in a folder. Thumb drive should be formatted FAT or FAT32.
2. plug your thumb drive into the DNX or DDX usb cable (not the ipod cable)
3. When your system is on, go to setup - software information - This is the screen that tells you the version of software running and bluetooth version.
3. Press the start button closest to the top of the screen. This will get the party started.
4. Be patient as it can take 5-10 minutes for this update to happen. Its gotta copy the file from your thumb drive to. eventually the system will reboot and tell you the update was sucessfull and when to remove the thumb drive.