That only holds if you believe the market has a high level of efficiency. Maybe if we wait long enough, the distribution of devices being manufactured will mat

That only holds if you believe the market has a high level of efficiency. Maybe if we wait long enough, the distribution of devices being manufactured will match consumer preferences, but I don't believe that to be the case today. The iPhone Mini sold ~millions of units. That may not be enough for Apple, but it's certainly enough to make a profit, yet nobody's building small phones now.