Just an update with this issue.
The side mirrors clearly dim, just not as expected with previous BMWs.
It seems that you must have these 3 things in proper alignment for the mirrors to dim:
1. It must be dark - rearview is dim
2. You must have a car behind you - a few car lengths, like 4-10
3. You must ALSO have a car to the side of you
It seems to only work when there is a car to the side of you as well as behind you. Kinda lame in my opinion.
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