Apple doesn't have a history of dominating any free-to-use services so I'm doubtful that they'll invest beyond the "good enough" threshold. This feels like ReadingList to me.
We'll see [1]. Some people miss the critical bit about maps on phones.
Ask yourself, "How can Google make sooo much money on search advertising?" I mean seriously, rounded to the nearest billion they don't have any other businesses. The insight that explains it is that search advertising exploits the fact that the consumer is "looking" and they have what they are looking for "the query". When that signals a possible purchase intent "car safety reviews" for example, at that instant in time Google gives advertisers a way to put their message in front of the consumer's eyeballs when they are most receptive to that message. The effectiveness of a car dealership advertisement in a Harry Potter movie preview? Lots of eyeballs, few if any looking for a car. In a search query on cars? Lots of eyeballs, many if not most of which are looking for a car.
This is what makes search advertising an insanely better advertising vehicle then pretty much any other form of advertisement.
Now lets look at maps on mobile devices. This has the same fundamental super power as search advertising, mobile maps are a search api. Many people don't put that together but when you are using your mobile device's maps you are seeking out directions, what you are looking for signals intent, and on that intent one can build a very profitable advertising platform. If I pull out my iPad and click 'coffee shops' on the maps search box I have signaled both where I am, and that I'm looking for a coffee shop. As a shop owner how much would you pay to have that person go to your shop? $0.50? $1? $2? How do you know your ad worked? Well there is an NFC payment, or a coupon you can offer up on the mobile device, or your local WiFi hotspot (remember that?) can tell you that the wifi mac address of the device that did the maps search, just walked into range of your hotspot.
Do you see it yet? Mobile Maps is as big a business as Google's search advertising business and its still un-plundered. Apple will do everything they can to 'dominate' this particular 'free to use' service.
I don't disagree with your assestment of the value in maps advertising. This is why Google acquired Where 2 Technologies years ago, why they had an outstanding Maps app on Android from day 1, and why they have continued to iterate on it more than any of their other applications.
It's also why Apple has waited until now to address it. It's because they are not Google, this is not their core competency. It's a platform hole that has to filled, simple as that. Same as iCloud Mail.
