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The main reason is for an external microphone, but I can imagine it being used for an output too. There's a 2 channel audio output on the back (SP style), 2 channels on front (the standard headphones jack), the regular 2 channel speakers, and a possible 1 channel output next to the headphone jack... That could mean up to 7 channels of audio output! Just one issue, chances are that they're all hardwired to output the same audio and the microphone port will only work as input, which if that's the case, we'll only get 2 channels output and 1 channel input.
However, any optimist will agree that someone could create an addon for the GBA slot that could support surround sound output.
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