Quick clarification -
at the target CPC or CPA they specified, Apple was unable to deliver enough impressions to meet $10 per day.
(Their average CPC was $.01, and their desired CPA was $.40).
Agreed that $10 a day is not enough to keep their app rocketing up the install lists. However, like any PPC or CPA advertising, iAd is a bidding system - and priority of impressions will go towards those that bid more. Your assertion would be like having a Google AdWords bid of $.01 for a high-performing keyword, and because you aren't featured on page 1 of the SERPs & only get a few impressions, concluding that Google doesn't have the audience to support your budget.
