Mine has gone deaf as well!!
Had the same thing happen to me yesterday, 9/24. I just picked up a 2011 e93 and was using the ipod connection for the first time. The car has 200 miles on it. ipod played for about 15 minutes and suddenly cut out. Since then, I hear no sound from anything (radio, cds, bluetooth audio, etc.) not even the gong warning me that I am not wearing my seat belt.
I even tried using the phone through the bluetooth and the sound did not come through the speakers. Though the person on the other end heard me, so the mics are still working.
I sure hope this is not a contagious electronics problem in this car, I have learned from experience that these problems are very contagious to other parts of the vehicle.