With my sportage I've had some issues using my iphone 3Gs with the cable to play music. It will start playing music, but once I give it a command (next song, random, etc) it will stop playing, and I can't get it to start again until I disconnect and reconnect. So I've just been using my ipod instead (which is what I intended in the first place anyway). I haven't tried it with bluetooth streaming though. I would try hooking up your iphone while at the dealership and seeing how it works for you.
I prefer to hook my iPhone4 up to my 2011 Elantra with the bluetooth for a few reasons.
1) If it is hooked up through the iPod cable, you can not use the bluetooth handsfree capability.
2) There is no need to pull your phone out of your pocket (or purse if female) every time you get into the car. (This is a plus, especially when you have the proximity key with the Limited w/Nav).
3) You don't see the song info when you use bluetooth, but you can still control the music using the forward and back buttons on the steering wheel.
Ultimately, it just comes down to your personal preferences when it comes to how you want it to connect.
I have a Limited with Nav and I am able to use the Bluetooth Hands-free even when my iPhone is hooked up through the iPod cable. The only problem I've found is that the iPhone defaults to the Bluetooth when playing even when you have the streaming audio option turned off. I believe this is because when you plug in the iPhone to the iPod cable a message appears on the iPhone stating that the cable is not an Apple authorized accessory and therefore sometimes you have to manually choose the dock connector from the choices of output on the iPhone because it defaults to the Bluetooth option. This really only happens if you scroll through the media options on the Nav unit and choose streaming & then scroll back to the iPod, and sometimes when I plug in the cable before I start the car. It was pretty frustrating at first, but now that I've figured it out it's not such an issue.
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