Suppose you have a phone - let's call it Phone X.
Every year you sell a new model of Phone X with your latest innovations, for 499.
At some point, people start complaining that Phone X is too expensive, so you introduce Phone W which is the "cheap version" for 299.
After some marketing team brainstorm sessions, you decide the company is not rich enough @ 1 trillion dollars and you want to screw your customers out of even more money.
So you do this scammy shift with your product line:
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They go on praising this pricing as "wow look at how much more affordable Phone is for everyone!" while ignoring the fact that, if you wanted the company's best product with the latest innovations, you're forced to pay twice what you used to pay for the same treatment.
Now if you want a phone that costs the same as the old original price of 499, you're stuck with Phone W, which is nowhere near as nice, and mostly contains old technology that makes it look embarrassing next to the best offering.
And on top of that, you get so greedy that you start removing things from the box, like the 3.5mm dongle, because it costs so many pennies to create per phone. You also depreciate old accessories and make them not work with your newest product (like the Pencil for your Pad X) so that people have to go out and spend over a hundred dollars on a glorified stylus.
This is literally Apple. You used to pay the same money for Apple's best offering every year. This was great, and it promoted a cycle of yearly upgrades for a lot of people.
Now they've put their best marketing brains together and found a new scam to run, introducing a new "premium" tier that their original tier used to be.
If you enjoy being bent at 90 degrees every september, go for it.