Why 1000$ is too cheap for a Smartphone in 2018

If I were to tell you 3 to 4 years back that, in the near future 1000$ will take over the market.

then you will probably call me a madman or laugh at my this prediction.

During that time when the most expensive luxury phones are only 500$ which is also considered very high price for a smartphone.

So what exactly happened int eh past 2 years that suddenly the highest price doubled and now 500$ is considered low for a smartphone.

But why?? this is happening??

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