1. Cradle offers several things, including faster interface with the iPhone/iDrive. The biggest thing is iPod-out, i.e.
2. Not that I know of
3. Not had that problem, myself
4. You could have the wrong cradle. The correct part number for the Media cradle is 84 21 2 218 390. It should say Media on the cradle, itself. Right by the home button, when the iPhone is docked.