On page 232 of Jech's Set Theory (3rd Edition, 2003), we have the following statement of Easton's theorem.
Theorem 15.18 (Easton). Let $M$ be a transitive model of ZFC and assume that the Generalized Continuum Hypothesis holds in $M$. Let $F$ be a function (in $M$) whose arguments are regular cardinals and whose values are cardinals, such that for all regular $\kappa$ and $\lambda$:
$F(\kappa) > \kappa$
$F(\kappa) \leq F(\lambda)$ whenever $\kappa \leq \lambda$
$\mathrm{cf} F(\kappa) > \kappa$
Then there is a generic extension $M[G]$ of $M$ such that $M$ and $M[G]$ have the same cardinals and cofinalities, and for every regular $\kappa$,
$$M[G] \models 2^κ = F(κ).$$
This doesn't make sense to me. In particular, assume (in the ambient set theory) both GCH and the existence of an inaccessible $\iota$, we can take $M = V_\iota.$ But doesn't this imply that $M$ has no (non-trivial) forcing extensions?
What am I missing here?
First of all, you can always assume that $M$ is countable, by taking an elementary submodel. And in particular $F$ "reflects down" to the submodel (since it is definable by a formula in $M$, and we can assume that the parameters are in the submodel).
So if $V_\kappa$ is a model of set theory, then by taking a countable elementary submodel, and collapsing the submodel, we get a countable transitive model with the exact same properties, as far as first-order logic is concerned.
Secondly, it's not true that if $V_\kappa$ is a model of $\sf ZFC$ then it has no nontrivial generic extensions. It is true that you can't add sets which have rank ${<}\kappa$ (since you are taking sets from the universe, in which case you can't find any sets of rank ${<}\kappa$ which are not in $V_\kappa$ already), but you might add classes to $V_\kappa$ by forcing, meaning you'd make subsets of $\kappa$ which weren't definable in $(V_\kappa,\in)$ definable in $(V_\kappa[G],\in)$.
In either case, if you force "over the universe" you can always talk about Boolean-valued models, and so on, since you are really looking to prove a consistency result here.