BMW has confirmed that it and Apple are working on an iPod in-car adaptor.

BMW Germany's Eckhard Wannieck told Bloomberg: "iPod adaptors will be available in BMWs and Minis sold in the US."

"BMW will release details on models and prices in coming weeks."

The company sold 276,869 BMWs, SUVs and Mini compact cars in the US in 2003 – making the US its largest market.

Bloomberg says a deal with BMW is likely to be the first of several pairings between Apple and carmakers as Apple goes on the iPod offensive.

Analyst Jim Grossman said: "It's the tip of the iceberg. The market opportunity for people who would like to play iPods in their cars is huge.'"

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