This thread has hopped around a bit, but after 5,000 miles and two s/w updates my experience is:
Regen and one pedal driving work fine. I could handle more regen, but my observation is that efficiency (i.e., mi/kWh) is optimized by more coasting, not more regen. Regen, like all energy transformations, is less than 100% efficient, it just can't convert the kinetic energy of the vehicle in motion into stored energy as efficiently as the car uses kinetic energy to coast down the road. In my regular routes I now know where I can switch to coasting, make it over a crest and then accelerate down a hill; all free distance traveled when coasting. With that in mind, I think they could widen the coasting band a little bit to make it easier to coast.
Regen does lighten up or turn off entirely at some inopportune moments. Another poster mentioned "hard cornering", which is relative. I consider hard cornering to be when I get close to loss of traction, like setting up a drift. But I can feel the regen back off much earlier than when I'm close to losing traction. Of course braking in the middle of a corner will cause an earlier loss of traction so I can understand what BMW was thinking, but the problem is that this is not under driver control, or entirely predictable. In mid-corner I feel the loss of braking as acceleration and while I know intellectually that it's actually improving my traction, I don't like the feeling of the car's behavior changing unexpectedly when I think I'm in control. A couple of times I've felt the loss of regen while cornering on a steep hill and it was very unnerving.
More to the OPs point, I also frequently drive in San Francisco, for example coming down from Pacific Heights to Lombard. That hill is quite steep and regen is not strong enough to control my speed, I have to also use the friction brakes. But in fairness to BMW, while those hills are steep, they are also very short and the amount of energy that could have been recovered from stronger regen over the course of 1/2 mile, versus what the current regen captures is inconsequential, particularly over the course of driving 40-60 miles in a day.