My 696 is doing the same thing and it happened to me while on the way home from the dealer after delivery. It started out going off intermittently, then "NO GPS" was on the screen of the AP, then I lost the TRK/HDG mode.I now have nothing but a wing leveler and altitude hold mode. The GPS is fine but just won't talk to the AP. Also, I've lost winds aloft on the Dynon. I can live with it until I take it back for its 25 hrs checkup. I wish it was just a wire, then I could do it myself, but I think it's something more insidious than that. Let me know if you find something simple to look for.
John
John and Julie Johnson
Lubbock, TX
N227CT (CTLS)
Wave #5