Another possibility for why it needs to be done that way is dealing with error conditions.

I've not looked at the code (or even the man pages) and it is a long time since I touched anything that low level, so this might be completely wrong, but if there is an error before the next 64KiB (including just hitting EOF) then the semantics could be different. Asking for 1x64KiB I would expect to just error as there aren't the requested number of bytes. Asking for 64Ki lots of 1 byte might simple error just the same, or it might at least populate the buffer with what it can read, or if the meaning of 1,65536 is actually “up to 64Ki lots of 1B” then it would populate the buffer as far as possible and return the amount read rather than an error condition.

If the per-byte option is slow but still fast enough, and dealing with the semantics is less faf, then people will go for that because the tiny time loss is worth the larger effort reduction. Of course this assumes the underlying system doesn't change, as with the “making local code to run as on-demand networked code” example higher in the thread which changes the relative performance characteristics of the two calling methods significantly.