Similar story here:
iPhone 7, iOS 10.2(14C92)
Car-Net app updated 1/12/17 to version 2.2.1.
Now Remote section of app has this message: Remote: The License has expired. Please log into the VW Car-Net portal for more information.
I login to the web, Remote section works just fine.
In the car: Press i-button, connect after a long delay to Car-Net.
He descibes in detail "VW Car-Net 3 year EV Complimentary Subscription"
Says I should have lost access to "other features" after 3 months
Offers me 3 year of service for just $540.
Watch app is pretty.