I understand that Apple did not make enough money to make it worth their while to continue the iphone mini line. However, it does seem like there is a profitable business for someone there given how beloved it was/is.
I only traded out my iphone 12 mini just recently for an iphone 16 pro (likely the last apple product I will ever buy but thats another story) and aside from the camera it is basically the same. Just heavier, awkward to hold and slightly worse designed.
No major player wants a smaller screen because it has downstream impacts on the pipeline of addictive material and ad pixels they can stuff into ocular nerves.
The market has spoken, it's not worthwhile for Apple to produce small phones.
There are a million companies that are not Google that could also produce mini phones and don't for the same exact reason: most people want large screens to enjoy videos and photos.
Nobody cares about small screens and pockets, everyone holds their phones in their hands or purses at all times.