Yeah, something is wrong with your system but I think you should phrase your complaint differently. You should say something is wrong with the NAV and don't mention your phone. Tell them what you just said, that it will not update and the system hangs and you want the NAV issue fixed. The update is just for phone/multimedia but your underlying issue is the brains of the NAV system itself. Also, mention if they don't address you will be forced to put in a complaint with BMW NA. Also, you can take it to another dealer and start over. You can also say you're 'planning' on getting a new phone and were prepping your system for it too.
The fact that they disavowed any responsibility to even look into your issue is BS IMO. Just on principal I would put in a complaint and go to another dealer. But, that's just me.
