I did a google search (amazing, I posted before I googled, that's unusual for me!) and it seems this is a design feature! There's even a kludgy workaround.
http://discussions.apple.com/thread....3675&tstart=60
iPods work, but iPhones do not. Which makes me feel better because I was sure I was doing this before with my iPod Touch.
Another one:
http://www.popularmechanics.com/blog...s/4219107.html