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EarPods were devices from a parallel universe, created by John Lumic.
History
They could be used to read minds, control them, and add information into them (a daily joke, for example).
They were used as the alternate universe's alternative to iPods. Secretly, however, Earpods could remove information from a subject's brain by producing two metal prongs that met at the top of the head. (DW: Rise of the Cybermen) EarPods were used to induce trance prior to "upgrading" of Humans into Cybermen. the Earpods took control of people by inducing a trance but on our Earth the earpieces were drilled straight into the victims brain. (DW: The Age of Steel)
When the Cybermen entered this universe, the earpieces of the Torchwood Institute, specifically, Torchwood 1, allowed control in a similar way, paving the way for the Battle of Canary Wharf. Adeola Oshodi died as an indirect result of this. (DW: Army of Ghosts)
During their attempted conquest of the Doctor's version of Earth in 1851, the Cybermen made cruder versions of the Earpods in order to gain control of four workhouse owners. (DW: The Next Doctor)
Other information
EarPods also exist as a source of private entertainment on the Doctor's Earth. (BFA: Cuddlesome)
Behind the Scenes
The name EarPod fairly obviously takes its inspirations from iPod.