Ok, you obviously know a lot more about the head unit in Z4s than I do, I was merely referring to the fact that the 2006 Z4 M doesn't have the AUX input jack on the dashboard since it was a feature that was added in the 2007 and 2008 models. Thanks for this info, it's nice to know that I could add this jack since the head unit already has the AUX input.
The BMW OEM iPod Adapter plugs into the CD changer port and controls the iPod as if it were a six-disc CD changer using playlists as "discs". You have to create five playlists on your iPod that start with "BMWn" where n is the number 1-5. You can follow this with any other characters to further identify the playlist like "BMW1 Rock" or "BMW2 Faves". You select the playlist by choosing the 1-5 buttons on the dash. Button six acts as a "Play All". When I had my S2000 I bought a Monster kit that had similar functionality. It too plugged into the CD changer port on the head unit and had a similar requirement for the playlists. The drawback to this system is that you can't interface directly with the iPod since the BMW adapter "takes control" of the iPod just like when it's plugged into your laptop, and you can only have 5 playlists. You obviously also can't search, or choose song, album, artist, etc. It's exactly like having a six-disc CD changer in the trunk.
Since my OEM iPod adapter plug is in the glove box and I'm now using my old nano 3G as a dedicated music source, I just leave the nano plugged in in the glovebox which is a discrete solution that has no exposed cables. Not nearly as nice as the iPod interface in my wife's car where the iDrive replaces the iPod interface and allows you anything you could do as if the iPod were in your hand. You merely plug your iPod into the USB port in the console with the standard Apple iPod cable and select the iPod as a source in iDrive.
Mine: 2006 Z4 Roadster (E85) | Interlagos Blue Metallic | Black Extended Nappa Leather | Carbon Leather Trim | Purchased 7/19/12
Hers: 2011 335is Coupe (E92) | Le Mans Blue Metallic | Black Dakota Leather | Dark Glacier Aluminum | 6MT | ED 5/12/11
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Last edited by SD Z4MR; 11-21-2012 at 02:52 PM.