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So my dealer followed up with BMW Tech and they finally got back to the dealer. They know about a problem with the Snap In adapters. Apparently it's related to a diode or something. My dealer told me there's a whole new part being released within the next 2 months.
Also, my dealer ordered 3 snap in adapters and managed to get one with an August 2011 build date, which works flawlessly so far in my 1M. He told me he'll call me when the new part gets released... I hope it fits the 1M better then the current media adapter!
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