Brian B. I'm sorry you're feeling this is "a bum deal". Here are a few things worth noting:

First, your current version will continue to work just fine, for some time to come.

Second, your existing app (Reemote HD) no longer requires the Reemote Server app to work with Airfoil - that's an improvement for you, at no cost at all.

Finally, we have absolutely no way to reach the previous purchasers of the software. Apple does not provide ANY information on who has bought software, and it's unfortunate that more customers aren't aware of that. Because we're left in the dark, even if we did opt to discount the app for a brief period (at a great cost of lost revenue on new sales), we'd have no way to inform users of the iPad version about it.

We've attempted to do what's best (provide a free update), for as many users as possible (the vast majority of purchases were on the standard version, which is why it was chosen to be updated). Unfortunately, Apple's App Store prevents us from doing what we'd really like (give the upgrade to all users) in any reasonable way. Sadly, that's not something we can control.