This workaround fixed this issue for me:
echo "options iwlwifi bt_coex_active=0" | sudo tee -a
/etc/modprobe.d/iwlwifi.conf
The above instructions set a bunch of unrelated options, and also blank
out any pre-existing content.
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https://bugs.launchpad.net/bugs/219057
Title:
Bluetooth does not coexist with WiFi
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