Bluetooth sound quality M3
Discussion
i don't know how similiar your setup is to the E39, but i had a similiar problem with my M5, whereby the other person couldn't hear me. It turned out that the microphone that's mounted in the roof console is directional, and it was fitted back to front. Correcting that helped, but i then bought a brand new mike from bmw. It was less than £20 and apparantly new ones have improved noise cancelling. Now it works fine. I have not had the other problem you describe but can only suggest trying another ULF. Newer ones have improved software and hardware, so perhaps upgrading to a newer ULF may help. otherwise, try a different phone and see if that makes any difference.
Daft question perhaps but have you check out your phones compatability?
http://www.bmw.co.uk/bmwuk/bluetooth/overview/0,,_...
http://www.bmw.co.uk/bmwuk/bluetooth/overview/0,,_...
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