Standard mode is too small for me. It's not too small to read, but too small to read comfortably. I have perfect vision and have my eyes tested yearly.
I think it's just a comfort thing for a lot of people. Also the further it is, the smaller it gets, so mounted to my dashboard while driving, the phone is further from my face than it usually is while holding it. Zoomed mode really helps with that.
Fair enough, mounted to the dashboard I couldn't read my network and battery status either. But you know what, you shouldn't in a car, and all three of my cars display that kind of status in their respective dashboard information systems anyway...Hence user interfaces for Satellite Navigation based applications tend to be bigger. I don't disagree with that at all, however also didn't take it as the use case to base this on.
I would argue that if you hold this at normal reasonable distance and you can't read it that the eye sight really isn't perfect.