It doesn't work compared to the baseline. That's what we measure it to, the baseline. Apple set a standard, and they're expected to follow that standard with the next reiteration of the technology. They set the expectations, and they failed by execution. Will it be fixed? yes, it eventually will, but realize that Google took 7 years to bring the technology where it is now. Instead of being arrogant, Apple should have shown some hubris and just license the map from Google for the sake of the consumer. Apple does have a responsibility to share holders, but it doesn't mean they should sacrifice the consumer.
Furthermore, there's an option to report a problem, but it can't undo the problem that was done to begin with. This is 2012, not 1990 when GPS first came out and everything was withing a range of 100 yards, and not 2005 when Google first came out with their maps. If a product is not ready by today's standards, then don't release it. Sure it works, if you compare it to 2005, but I'm not the type of guy to settle for something mediocre just because Apple makes it and tells you it's good.
Apple should just renew the license with Google, and work on an Apple Maps app for iOS7 or iOS8. This is not 1997, Apple is not going bankrupt. They are the most profitable company on the Earth right now. They could have and should have worked on a long term plan instead of a hastily rushed process to cobble together a maps application.
This whole problem could have been avoided if they were less arrogant about their abilities, and a little more hubris. So what if information was leaked that they were, or are working on a maps application for the future. We knew the iPhone 5 would have a bigger screen for over 2 years.