I got my 07 about three weeks before the 08 models came out with their fancy standard iPod connections. No matter since, at the time, I was the one of eight Americans who did not yet own an iPod. To this day I still use these round shiny things for music.
My girlfriend would bring her iPod along on road trips which required a charging cord as well as an FM transmitter unit that didn't work all that well. I didn't get an iPod but I did get an iPhone 3G which, as far as I could tell, worked about the same. Then I find out that the iPhone 3G has a different charging setup than older iPods and those FM transmitters are pretty expensive considering they don't work that well. Plus, I don't want to fiddling with the controls while driving.
So, after much searching, I found one item out there that looked promising: the $180 Neo Pro Link PODTOYV215. I ordered it from iCarKits.com. It arrived shortly after and I stubbornly decided to install it myself rather than get a professional's assistance.
Armed with a tool box, I went to figure this all out.
I couldn't find great instructions online for taking out the stereo but the ones I found listed "unscrew the transmission knob" as Step #1. I was dubious about this since the directions were written for a manual tC. Turns out though - same thing.
Next step was to remove the lower half of the "waterfall" trim. It's an incredible pain to get loose but it really is just secured with three clips on either side. If you feel a need to pry it loose - do so very carefully with a flat head screwdriver that is wrapped in a few thin layers of cloth. You will probably need to change gears to get it over the shifter. You can leave the cigarette lighter wiring there--just set the lower trim to the side and careful not to scratch it.
The top half of the trim comes off much in the same way - you just carefully pry/pull it out - it also is secured with just some clips. When it comes off, disconnect the climate control cord.
The stereo bracket is held by two screws on the bottom and two bolts on the top. The bolts are almost 3/8" but not quite, apparently. They were a massive pain to remove.
The Pro Link came with a control box and two cords. One cord goes from the box to the iPhone/iPod and one goes to the stereo. I connected the cords and ran the iPhone connection one from the stereo bay, behind the storage bin thing, alongside the shifter assembly (driver's side), and finally up out of the handbrake opening. I superglued the Pro Link control box to some metal thing down on the bottom of the gaping hole behind all the trim panels and tested it out. After everything seemed to be working fine, I replaced the stereo and trim.
I can now charge/play my iPhone 3G as though it were an iPod. It works with the steering wheel controls. You don't use the iPhone itself to navigate through the music. It gets a little weird here: you can have six play lists on your iPhone - and they need to be specially named. Otherwise it'll just play your entire play list in default order. You can still scan and everything else though.