I have this same issue where my mic stopped working completely for my iPhone 7 coincidentally after the ios 12 update. I tried all the troubleshooting tips that I could find online but was not successful. I also set up an Apple genius appointment and they were very unhelpful as well since they told me the same thing as they told others, that it could not be fixed, it's a hardware issue and it cannot be replaced because there was no warranty. After reviewing many different websites which confirm the same issues that many other Apple users are experiencing and from even reviewing the thread below, here is what I really think is going on:
1) it's either an ios 12 software bug issue
2)or it was an iPhone 7 mic defect issue to begin with which is what is causing it to be a 'hardware' issue (THIS IS THE ONLY REASONABLE EXPLANATION SINCE LIKE MANY OF US, OUR PHONES WERE COMPLETELY FINE UNTIL THE UPDATE HAPPENED)
3)regardless of what the real issue is, it's not fixable, Apple already knows that and because of the reasons #1 and #2, Apple doesn't want to admit that it's their fault knowing that it will lead to them losing more money having to do a iphone 7 recall just like with the battery replacement issue that happened before too
4)if not the above, then the only other thing to assume is that this might be Apple's way of saying 'this is what you get when you don't upgrade to the Apple Protection plan when you buy a new iPhone' and 'you have an old iPhone so it's time to upgrade so we can make more money off you'
5)I really hope #4 is not the reason for all of this since I've been a dedicated iPhone fan from day 1 but it's really strange that Apple had the nerve to accuse this of being a hardware issue, meaning it was our fault for the mic not working when it clearly wasn't our fault. How could there be so many customers that have this issue where there was phone was working normally up until the ios12 update? it's not like we had a choice to ignore doing the ios 12 update due to the numerous popups we get advising that we need to update and if we don't, our iPhone won't function properly moving forward.
6)I seriously don't get why Apple won't admit this is their fault but either way, I think if everyone else is having this issue, they should comment, share or post on this thread too so Apple can see how many others are being wrongfully affected by this and also, this needs to be further escalated to the management team of Apple Support. It isn't fair that Apple's current status on this is that it's the customer's fault for being a hardware issue and that not all of us are entitled to a free repair or replacement. The more customers that voice their opinion with this, then the more Apple will eventually listen.. hopefully...