I am getting the same issue. Apps like voice memo led me to believe it was possible to display the audio in the Dynamic Island - and now I found out that I can't even do a simple update every minute without push notifications, just because I have audio enabled. Anyone found a way around this?

Same issue here. I I change to .ambient mode it allows updates from background, but .ambient mode does not suit my audio needs. iOS 18 still has the same problem.