>They're gutting a huge market.
How big is this market of people using iphones to produce music?
Having attended and played hundreds of rock shows throughout the world, I've seen many musicians use iPads as synthesizers, loopers, effects pedals, and DAW recording studios. I and all of my professional musician friends use it in performances for both audio and visuals. The audio latency and MIDI support of iOS is legendary among musicians, and is why they dominate the musical app market compared to Android with its unusable 20-300ms audio latency.
Wired earphones are cumbersome and don't really offer any significant audio advantages.
I have a pair of studio headphones for listening to music when I'm at home. But when I'm out in the gym or heading to work on the metro, wireless earphones are 200% more convenient.
Remembering to charge them is easy. I reach my office and plug the charger right next to my laptop charger. Impossible for forget it
To be fair, OK-ish quality wireless earbuds are now available for ~$30.
You can get voice quality ones for less than $20.
Charging is annoying though. :(