Planned obsolescence, subscription degradation, ad creep, landfills full of cheap crap… It’s in their interests to sell the least useful thing for the highest price. If it costs more to put in pockets, they’ll spend a surprising amount of money trying to convince people they don’t want pockets. Or better yet, just buy up every competitor until there are only a few players and decide amongst yourselves not to make better stuff. I’m not saying that’s what happened, necessarily, it’s just not a foregone conclusion that pockets are scarce because demand is scarce.
Public perception can function like any other externality, meaning you can offload costs onto it. This is regularly done, but it’d be foolish to claim that’s the case here without more information. As it would be foolish to assume the hand of the market is gently guiding us to a better world.