Above, dsjac asked
Does anybody know if [Apple] is aware of and/or cares about this problem?
I do not know whether or not they care, but Apple does know about this problem. I'm obsessive with my album art and noticed the problem on September 17, right after downloading 4.2.1. I spend the next day troubleshooting and attempting to fix the issue myself, and, when I could not, I called Apple. I had recently (at that point) purchased an iPad mini so had access to Apple Care, and I spent a long time on the phone that evening. I was passed up to a senior representative who told me he had the ear of the engineers who would investigate the (issue if it existed).
At that point I would have been running whatever versions of Mavericks, the final version of iOS 7.x (on a 5s), and the final version of iTunes 11.x were current at the time. My now playing art appeared as the OP's on both my iPad and iPhone, but all the other artwork appeared. I could see every album cover when I browsed by artist or album. I could see album art in the Up Next and in the History dropdowns. If I streamed music to the television via AirPLay to the Apple TV, the artwork would appear there. It appeared everywhere that it should appear in iTunes. It appeared on my iPod classic. There was only one place that it did not appear.
For the record, all of my artwork is embedded directly into each file. If the only source for an album cover is the iTunes art, I always make a copy of the image, clean it up a bit, and then embed the art directly into the purchased m4a files. The images I use art not unduly large; The maximum size that I tend to use is 600x600 pixels.
I shall call the representative with whom I dealt Mister UU (in honor of the band who created the most bestest album ever). Mister UU went over the issue very carefully with me and I was confident that he understood the issue. He asked for screenshots and I took them and emailed them. He verified their receipt. I was put on hold, and, after some time, I was told that the engineers were unaware of any such problem and that it did not appear as if anyone else in the Apple User community was experiencing this issue. Nonetheless, he told me that he would check into it further and follow up with me. He said that he would call me the next Monday, September 22, and that we would speak later in the week as well. He said that the issue would be marked as medium priority.
Mister UU and I "spoke" three times that next week, on Monday, Wednesday and (in a manner of speaking) on Friday.
I don't recall what happened on Monday and what happened Wednesday, but, over those two days, Mister UU sent me a link to a dmg download that expanded into an application that dug through various parts of my OS and captured my pertinent iTunes data. I also supplied a song that I had ripped myself, and I created a new library, downloaded everything that I had purchased from iTunes over the years (they tried to stick me with the U2 album at that point, but I caught it in time and cancelled its download). I then began playing these tracks randomly and the issue persisted.
Mister UU made an appointment to speak with me on the phone that Friday at noon. At noon, instead of a phone call, I received an email from him telling me that he would be a little late calling. He never called.
He did eventually send an email, and, later that evening, two voice mails from him appeared on my iPhone, time stamped between 12:15 and 12:45, but there was no log of these calls in my recent calls and I swear on my daughter's life that I carried my iPhone with me, on my person, everywhere that afternoon. Had it rang, I would have heard it. No one else called me either, so there is no way he'd have been bumped to voice mail.
In the voice mails and the email, I was told that the data that they had collected was corrupted. Apparently I had done it wrong, even though all I had to do was press a button to gather the information and then attach the file the application generated to an email and send it. But, of course, they did not want me to attempt to collect data a second time. I was told, once more, that the engineers were unable to replicate the problem and that my issue was one that, as Apple's knowledge on September 26, was unique to me and my system.
The end of the email stated that my case had been closed. If, however, I wanted to reopen the case, I could do so by following the link below.
That link was a 404. I emailed the representative back and told him that I did not consider the case closed and informed him that the link was dead. He did not write me back.
I have not heard from Apple since. They are aware that there is a problem. I have no idea whether or not they care, but, if I had to guess whether or not they cared, I know which answer I would choose.
I am now back with 4.2 and everything works perfectly (I am running iOS 8.1, Yosemite 10.10, and iTunes 10.0.1.26 on a MacBook Pro).
These are the steps I took to reinstall 4.2:
• I deleted Remote 4.2.1. You can find it in Music > iTunes > iTunes Music > Mobile Applications
• I made sure it went to the trash and I emptied the trash.
• I manually deleted 4.2.1 from both my iPad and my iPhone.
• There are four preference panes where you must disable automatic downloads.
• On my iPad and iPhone, I went to Settings > iTunes & App Store, and I disabled the automatic downloading of "Apps" and "Updates.
• Then I went into the iTunes panels for my iPhone and iPad.
• I went to the second option, "Apps," between "Summary" and "Music." The left hand column displays apps that are or can be installed on that device. Scroll down to the bottom of that window. In between that window and the one below it, "File Sharing," there is a check box followed by "Automatically install new apps." This Should be unchecked for every iOS device you have or use.
• I went back into Time Machine to early September, found 4.2 in the same location where I deleted 4.2.1, and I restored it.
• I exited Time Machine and went back to iTunes. Under file, I selected "Add to Library" (command O), and selected Remote 4.2 from the same location to which I just restored it.
• Then, I installed 4.2 on my iOS devices and set them up as I normally would set up Remote on a brand new iOS device.
Finally, I duplicated Remote 4.2 and stashed the dupe in another folder because Time Machine is not infallible (knock on wood).
I don't think that anyone here knows how widespread this problem is. Apple may not either. A tiny modicum of users may not rate a fix when compared to other issues, deemed major, that affect more users. If you have this issue, please take the time to report it.
I hope that we all see fixes to this and our other issues soon.
M.