I agree, using base 10 doesn't make any sense at all. That HD manufacturers use base 10 instead of base 2 is bad enough already.
The only reason I can see Apple doing this, is to make it look like your (e.g.) 8GB iPhone actually has 8GB of space. Whenever you download a file it will look bigger on your HD than indicated because they multiply the size.
And if you want to write something on a 700MB CD, all of a sudden your 680MB file won't fit anymore or will apple also enlarge the CD size?
I don't know everything, so maybe I'm missing the point but I really don't agree with this and I'd like someone to explain me a single benefit (except for Apple making their HDs look bigger than they really are).
4.37 GB DVDs show up in SL as somewhere around 4.69 GB (IIRC), but they still burn correctly.