Perhaps Apple's iPhone 7 isn't just a smartphone, but part of an integrated system that is something else entirely? Meet iPhone 7 Pro, the VR machine.
Today it's the $100 value handset. Tomorrow it will be the $200 premium smartphone. There's nothing left for the traditional device OEMs with those kind of margins. Huawei, ZTE, Xiaomi and Lenovo are coming, and Apple and Samsung can't stop them.
Waiting until you have a catastrophic failure or a major security event to upgrade your system is never a best practice.