Some apps actually use this to work around background activity restrictions. If they can come up with a plausible excuse to run the microphone, they can use that to keep the app active in the background indefinitely.
It does place a really obvious red bar at the top of the screen, though, so it's not something an app can do secretly. I believe only one app can do it at a time, too, so you can't have a bunch of them all spying on you at once.
For myself I went the extra mile to just have my laptop record ALL audio but then felt this was a little too douchey/NSA-y and disabled the whole thing and wiped the audio. I wanted such a system not only for "You said this then and now you are saying that now" but to remember things I had said myself. I wanted to hook it up to STT to have a searchable archive of what I had said but again it was an invasion of privacy (to people around me) that I personally couldn't stomach.
You'll be happy having the audio even if there are restrictions. Simply don't tell anyone about it until the benefits (saving your ass) outweigh the drawbacks (potential charges).
As for you, there's nothing morally wrong in wanting to not be trapped by a liar. And it doesn't magically become morally wrong if you walk into a two-party state.
Transcribing audio to text
For that matter, I'd love the same concept with video, if there was a way to always record what I'm seeing without having to think about it in advance or wear a camera on my face, to capture anything interesting that happens to me, I'd be interested. I remember a story about an exec at Microsoft installing implants in his head for this purpose.
I'm terrified of anyone but me having access to this kind of data, though. It's nobody's business but mine.
Don't know about HeardApp, but I automatically assume the primary use case is for the company's benefit and not mine. Is it installing SilverPush on my phone and listening for things besides me to cross-reference and track my activity? I don't know...
This is by far the biggest problem with this kind of tech. If there were a way to guarantee the privacy of the recordings, it would be a super useful tool. You could basically have a perfect photographic memory. Not to mention all the cool processing you can do with the data. The idea really excites me, but equally terrifies me.
But I think given enough time and progress in encryption/speech recognition/legal issues, I think something like this is inevitable. It's hard to see a future where we record less. I think another key part is having access to data of you. That way you don't feel like it's being recorded to be used "against" you.
I'm guessing your phone would have to be pretty close to the child though.
When they were found to be tracking GPS positions even with GPS disabled? (Sorry it's impossible to find a link to this anymore)
How about the Bluetooth vulnerabilities their desktop computer suffer -- I've seen keyboard connections trivially hijacked.
I'm not suggesting that Apple has made a deal with Facebook (I think you're right on not being incentivized to do this), but to say Apple is "pretty good" at protecting a user's privacy, I question that.
Let's not hijack this thread to talk about Apple's security record.
The only way around this restriction would be using a private API Apple could have provided. Given that Apple has even integrated some aspects of Facebook into iOS, this is not totally impossible, but it's hard to imagine Apple having an incentive in allowing Facebook to passively record and transmit all user audio. To date, Apple actually seem to be pretty good at protecting user's privacy.