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Not sure but might be part of your OnStar antenna. As previously mentioned could also be part of rear entertainment. I had a 2000 Yukon XL that year had the antenna in the glass. I've also seen a few with the antenna on the right rear back glass. Kinda makes sense if you have steering wheel audio/phone controls.
Looks like we have a winner. I can see the same grey wire above the DVD player. Haven't messed with the DVD player since I got the rig. Previous owner said it didn't work. I just tried to put a DVD in it and it just keeps saying loading. Gave it about 10 minutes, but no other progress. It doesn't matter much to me, since I don't have kids.
It's an FM radio modulator that's obviously connected to that overhead DVD player. You would tune the stereo to 88.1 or 88.2 or something like that in order to get the sound from the DVD player to play through the speakers. It basically works like an old school video game system that connects to the TV and you had to turn the TV to channel 3 to see it. Same principle.
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