| There are two kinds of players in the market: a large consumer class, and a small collection of oligopolistic producers. The game-theoretic equilibrium is in the actions of the producers. Customers have many different criteria by which they judge phones: price, performance, available apps, social desirability, repairability etc. I would say that repairability is of lower importance than other criteria. Producers know that selling unrepairable phones produce more profits long term. Obviously repairable phones are also a few perfect more expensive. So from the 00s when phones were largely repairable, to today, producers have sequentially produced phones that are less repairable but a bit cheaper. Ad campaigns have been used to make thinner monolithic phones as more socially desirable [1]. This also changes how customers rate the importance of different criteria. Any new producer who creates a repairable phone not only has to produce a more expensive phone, but also has to create a niche of customers, against the competitor ad campaigns, that value that repairability. Hence, that new producer is not profitable. This is the equilibrium which explains that lack of mainstream repairable phones in the market. But of course, consumers want repairable phones, but only if everyone else gets them as well - so they aren't uncool. Which is why different consumer groups have advocated to lawmakers, and now we are getting a law that forces everyone to change in tandem. [1] Not much different from the cigarette ads of the yesteryears. |
But if a repairable phone is cheaper for the consumer overall (the don't have to replace as often), why would this be a problem? Japanese cars outcompeted American cars because they were more reliable, and consumers recognized that. Shouldn't consumers jump at the chance of reducing their overall phone TCO by 50% or whatever?