Just wanted to add to this thread...
DeAutoKey has created a unique kit for the B7 Passat, that I installed on my 2012 3 months ago. Not only are the bulbs custom-wrapped to ensure zero glare, the 35w kit carries a lifetime warranty and slim-line ballasts for $144.99. It also employs metal bulb adapters that are of much higher quality/durability than the typical plastic adapters you'll find everywhere else.
I can say that this is easily the best upgrade option available for the B7. IMO there isn't a single upgrade for the money that makes a greater impact, adds more value/safety/performance than this kit.
After driving with these bulbs for a few months, I ordered another set and installed them on my Mom's B7. Especially for cars without the factory fogs installed, this kit has a dramatic effect on night-time visibility and with the hefty warranty included and high-quality parts employed, I am looking forward to a very fruitful relationship with this company.
For those interested, I have also replaced every other bulb on my Passat with CANBus LEDs from this same company. Though expensive, 100% of them are error free, direct-replacements and also come with a lifetime warranty. All told, I've spent around $800 retro-fitting the interior and exterior lighting, so this is not a cheap endeavor. But I couldn't be happier with the end result. My car is Candy White with the Beige Silk leatherette and the higher-kelvin rating of the LED bulbs lends a far more modern and inviting air to the cabin. Outside, the blinkers, brake lights, reverse lights, license plate lights and fogs do an excellent job of creating some much needed visual presence without silly carbon fiber/aftermarket antics. Overall the conversion exudes the kind of refined performance you'd expect to enjoy on an Audi, and it looks outstanding on a VeeDub.
The final upgrade I'd recommend for those that have the factory fog lights would be the OPT7 FluxBeam LED bulbs. Talk about your night and day differences...at 3,500 lumens per bulb, this upgrade will transform your side-to-side and short distance visibility in a very drastic way. The install could not be simpler and the bulbs are widely available. I did have 1 bulb driver die on me a few weeks after install, but one call to OPT7 and I have a replacement driver shipped free of charge within 2 days. Since then, I have had zero issues. These bulbs come with a 2 year warranty and even if they die after that point, I'd re-purchase this set just for the difference it makes with no complaint.
So, do I recommend everyone go through the time/expense/hassle of retro-fitting their whole car? Nope...super expensive and time consuming. But for the average user, I would recommend the HID kit and, if so inclined, the fogs at a minimum. Only lighting nuts like myself would ever see the benefit in spending so much time and money on just lighting. But for those lighting crazies out there...IT IS AWESOME.