If you have already updated your firmware, make sure that you have BOTH the 'IQbuds' and the 'IQbudsApp' connected in the Bluetooth settings on your iPhone.
If the IQbuds are paired, and both of the above connections are 'Connected' but the problem continues, there are a few more possible solutions:
Place the buds back in their case and close the lid for 30 seconds and try your music again.
Disconnect from your Bluetooth, and re-connect.
Even if 'iQBuds_xxx' appears to have connected, press the connection again to try to force it to reset, as this is where your "music" connects.
Lastly, if that doesn't work, select 'Forget this Device' for both 'IQbuds' and 'IQbudsApp' and restart the 'First Time Setup' which you can find under Info, then Setup.
If this doesn't fix the problem, please send through a screenshot of your Bluetooth settings on your iPhone. When taking the screenshot, make sure your iQbuds are close by and connected.