I successfully paired my iphone to my new z130bt but I was under the impression I could use BT audio to play songs from my iphone. Is this not true? What else do I need to do? Help!

You can. Select the bluetooth audio source.

I know this seems odd. I select the Bluetooth audio source after it syncs with my iphone but it doesn't play. I see that it has two options on the bottom that says connect and disconnect. When i press connect,the unit denies and asked to locate the audio source, bu I did when i synced the phone right?. I have the 2nd. Gen iphone. Any Ideas?

Select bluetooth audio, don't hit connect, start playing whatever from the iphone and make sure it's set to bluetooth output.

EDIT: <<PLEASE DISREGARD THIS POST. I FIGURE OUT WHAT THE PROBLEM WAS. EVERYTHING IS OK NOW. IT WAS A USER ERROR !!!>>

Hello everyone,

I have Nexus One Android phone. This is a pure Gingerbread android. I have recently purchased an AVIC-Z130BT and I have been able to connect my phone via bluetooth to Media and Phone. I am able to synchronize the phones contacts, make and receive calls but I haven't been able to stream music via bluetooth pairing. I have wired the AV imputs on the HU and I can connect the phone with a stereo jack to do it but I would rather have the convenience and the ability to control music from the HU rather from the phone. I have allowed full BT exchange protocol access on the phone and yet I am unable to stream music. When I play a song it only sounds on the phone and not on the HU. I have a Motorola V9 HD bluetooth and I am able to stream music through it. I am also able to stream through my Laptop PC so I know it is not a cellphone setting/issue. FYI, I have the latest 3.001 firmware vesion on the HU.

And yes, I did selected Bluetooth Audio Source in the HU!

@OP: The second gen iPhone does not support BT audio streaming.