Ok if you have the base system here is the plain facts. It is only putting out around 9 watts of power so any new speakers you install are not going to be very happy nor sound well with that kind of power. In your M3 they have a factory amp which HK is very good about matching factory Ohms ratings so you had no trouble upgrading them.
I highly recommend if you do not want to upgrade to a new head unit to at least use a LOC or a mtx re-q5 and add new amps to power your new speakers as they are going to want more power.
Also what is your budget? What do you want from your new system/ speakers?
If you want more control over your ipod and better sound two things, you will get better quality output from a new head unit. Or using a device from the company isimple you can actually control the ipod from your factory radio.
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