If you order the premium package (the one with the glass roof, premium heated seating throughout, two rear USBs, better sound system, etc) , your first year of Premium Connectivity is free, then it goes to $100/year after that. Premium connectivity allows internet streaming (via Slacker), satellite maps with live traffic visualization, and OTA updates via WiFi and cellular.
If you do not want the Premium Connectivity, you will still have access to maps (no live traffic, not sure about no satellite view), but no internet streaming service and the OTAs must be done over WiFi unless the update addresses a safety concern and the software update can be pushed over LTE.
That shouldn't have anything to do with the Premium Connectivity, especially since the app/phone is your primary key