I have a 1997 528I with the factory radio. My FM is giving me problems Anybody have any advice on either fixing these units, and adding Ipod intergration, or replacing these units
Depending on configuration, the radio i.e. the tuner is either located in the unit with the tape or cd player or in the trunk. Replacing it is fairly simple although it may not be cheap. There is no equivalent module you can plug in for the tuner. Regarding iPod, all U.S. spec cars have a CD changer port. Yours is in the trunk. For my E39 5er, I used the Dension ice>link which worked quite good. You might find one on eBay. If not, DICE makes a unit that I've heard good things about.
If you want to stay OEM, try United Radio out of Syracuse, NY. They do an exchange program. I did it for the my radio in my '96 318i when it went "belly up." They were (and may still be) the designated repair facility for Toyota radios, too. www.unitedradio.com/ I just rummaged their website, and they repair non-OEM radios, too.