or is there a hidden strategy of increasing the phone sizes of new iphones to deliberately make them unwieldy, and create a problem which can be "solved" with a smart-watch? ie, more crap to sell.
Yes, and it started about five years ago. That's when my wife and several of my other female friends began complaining that phones no longer fit in the pockets of women's clothing that isn't made by Lululemon or something. They got things like the HP Veer precisely because it was still the size of an old flipphone and managed to fit in the roughly six cubic inches that manufacturers have decided is the amount of pocket space they will provide for women's clothes below size 2. Then all those went away as everyone raced to make phones that are really tablets, so now they're buying smartwatches and keeping the cellphone in the purse or in the desk. Sure, it's a big awkward batphone, especially on someone who's a size zero, but it's a lot less ginormous than any cellphone you can buy in the US, as far as we can tell. (If anyone can suggest a cellphone that's roughly the size of a Veer but is still supported, I'd love to know about it.)