Interesting. Does that mean that the companies like Placebase (which Apple acquired) weren't generating their own map data? I guess I just assumed that they were, but the small amount of info I can find on them now makes it seem unclear.
I don't know anything about Placebase (or the other map company Apple acquired at the same time).
But from a practical standpoint, the world is really really bog. "Generating map data" isn't exactly easy, you don't "generate it", you have to "collect it". This isn't like generating a spell checking dictionary, or a a user generated world for a video game. You have to use reality.
The half a million OSM users has been collecting this data for about 8 years now. Either with lots of GPSs or buy tracing satilite/aerial imagery from Yahoo and now Bing (not Google ☹).
To generate it yourself, you need to reproduce all of that above. Google's Street View is a way to reproduce it, since you'll have GPS traces of all the roads, and photos of what the road is like (for street names). OSM covers twice or more times what Google Street View does, so that won't even get you there.
The other option is to pay companies that have already done this, this is what Google Maps (et al.) mostly is, and is also what GPS/SatNav companies do. They get their data from either governmental sources if possible, or from tracing aerial imagery.
All those options are expensive. Why not just use that free OSM data?
This is why OSM was created. To provide a free source of map data to improve humanity.