I got a call from American Honda today, and the rep spouted the same thing about TTS conflicting with iTunes 7. I tried explaining to him that I use iTunes 7, and do not use TTS, and that my iPod doesn't work with firmware 1.2, and that it does work with firmware 1.1.2. So I told him it could not possibly be a conflict between iTunes 7 and TTS.
He said yes, but they were working on an upgrade to TTS to fix the issue. I reiterated taht I do not use the TTS, and said that I thought that you were supposed to be able to use Music Link without TTS. He said yes, you can, but Honda recommends you use TTS. I said right, but you don't have to, right? He said right. I said wrong, I cannot use the Music Link without TTS is I install firmware 1.2.
So he was stumped, stuck to the party line about the upcoming revision to the TTS software, and that was all he knew, and that I should probably work through my dealer. They just can't seem to get their heads around the fact that it may not be a TTS software fix, and that they may actually have to work with Apple to get them to correct the bug in the iPod firmware which seems to be causing this problem.
It should get interesting when they issue the TTS update, and continue to receive complaints from people who can't use Music Link without it as advertised. I think I want my money back so I can buy an aftermarket connection system.