The average person isn’t buying their phone outright either. They’re getting an upgrade from their cell carrier, and most of them do “free phone on us” as long as you stay under contract for 2 years.

T-Mobile for example (just who I’m with) will give you a $1000 credit towards a 15 pro if you trade in an “eligible device” over 24 months.

Relatively few people are just outright dropping $1000 on a phone.