Do you want ad networks gleaning your physical location(s) throughout the day? Do you want random applications surreptitiously recording your phone conversations?
While both of these limitations might seem, well, limiting from the developers perspective, they both seem very much in the favor of the end-user to protect them from potential abuse.
They disallow you to even tell the person about it.
As to the recording, you're not allowed to record telephone conversations that use the 3G or phone network in any way.
This means even in telephone recording application designed to record calls the customer wants recorded. This is now forbidden by Apple. (As one of my customers found out 6 months of reviews later when the app has done this all along).
This isn't a "protect the customer from abuse" sort of issue, this is a "Apple doesn't want apps to do it at all" sort of thing
Are we surprised at their arbitrary nonsense anymore?