First of all, the Blue&Me Update server is not up yet, and I guess they never will be. Some phones are able to establish a GPRS/EDGE/3G etc. connection with Blue&Me, and some not. You should see on your phone if the connection is established, and after 2-3 minutes you should get a “server error” message (since the server is not running). If Blue&Me is not able to connect trough your phone, you will get a GPRS error message.
The dealers (at least in my country) have no idea about Blue&Me updates (which I’m sure they receive from Fiat). And of course, it would be great if additional feature would be added to Blue&Me, just like Ford did with Sync in the US…