i emailed pioneer. they told me if you put in the n3 discs AND YOU HAVE THE NEW IPOD Adapter, you WILL get all the new features. however, you will be locked out of viewing movies in motion and changing map directions in motion.
yea it has the "little problems" but its not an issue for me because i leave the map disc in the drive all the time since i have all my music on my ipod ( i have an ipod adapter). and you could always get a cd changer.
i have a 2003 e46 bmw and i bought a eurotray for the center console and just ran the wire into that, i keep the ipod in there...very clean installation