I have the same car, and same model year, and almost the same problem, the car stereo doesn't reboot, just connects/disconnects. Tried 2 other phones (iPhone SE on iOS 10.3 and Lumia 930 on WP10) both work without issues. I just hope it won't take a couple of months to fix it, since the Z5 is basically useless to me as it is now. --update-- so I did what YoGem suggested a few posts earlier an tried : - software repair - and guess what it worked... to a point. Bluetooth connection is available again and seems stable. However there is a _major_ downside to this, as I also just found out: Sony provides the most useless backup solution in existence. It basically backs up _NOTHING_ useful no email settings, no apps, no app settings, no Homescreen settings. So you end up with a more or less pristine phone, but it's nice if you have to reconfigure your Authenticator apps, every single mail account, every app etc..
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I have a similar issue in my car, since the update to 7.0, the phone will connect for call audio, but media audio will go in a connect/disconnect loop. Every update from Sony seems to break the bluetooth connectivity, had it happen before with 6.0.1. This is beyond annyoing when you're using the phone as a media player. I tried the different fixes that people here reported (wifi off, smart connect disable, reset network settings etc.) but I refuse to factory reset, it's just too much of a hassle to reconfigure everything, and previous experience says the next update will just end up breaking it again.
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