Small phones are dead as a mainstream product, sure.
Screenreaders are also dead as a mainstream product.
Phones with a German language setting are dead as a mainstream product.
However, there are various people with severe disabilities like being blind, being german, and having small hands, so we should produce phones that are appropriate for all of those groups, and yet only the former two are serviced (even though there are more people with small hands than there are germans).
Sent from an iPhone mini, which is already about an inch too big for my hands.