The vast majority want real tactical feel and control. Phone touch screen really works for a small number of games.
A 3DS for $200 with a few games is less investment than hundreds of dollar phone plus service fees.
The number of people smart enough to buy a used unlocked phone with no plan and just use WiFi is a very very small percentage.
So the average cost of having that phone is like buying a full priced game or two every single month.
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