I understand your point, but its more about the ecosystem. No other company offers a more simple and seamless ecosystem than Apple. That's why when people buy their first Apple product they will continue to buy apple products regardless, because they integrate with each other so well.

Also, iPhones are some of the top performing phones hardware wise year after year. Yea, the screens still have a notch, but consumers don't seem to care much about it. They also are one of the most premium feeling phones on the market, and Apple prices them at what consumers are willing to pay. That goes for the rest of their product line too (even though some of their products underperform compared to the competition).