After I updated navcore (universal-for the 32ram), I did a demo and at one point instead of the car symbol, it shows up a medium size gray/black box. Any reason? That means I have to put back the 3-4 year old one that works? (If this was mentioned elsewhere-please link it. thank you)

It only means for some reason your car symbol was not displayed correctly.
Any chance you are using a map for AU?

Nope. I am using USA-Canada.

How much RAM is free when you select a long demo route for simulation?
If under 6mb there could be a problem.

Not sure on device itself. But, everything is on a card. The card has roughly about 300mb free.The previous version I had used had more or less the same stuff as now, and it worked with no problems. (also, it happens always at the same location)

The RAM has nothing to do with your storage - I talk of the memory to run all the stuff ;)
If it happens always at the same location it might be a map error.
Can you give the details for a simulation that causes the error to appear so other users with the same map can confirm it?
For some maps TT issued a 916 release due to map problems.

I don't think it's a map error. Because, I tried 3-4 different maps with this navcore, it still shows up the same problem. But, with version 9.101. It was no problem.

It is the first time I hear of a problem like this, so I can't give any other advise than to try a different emulation and if still no good a different Navcore.