I bought my phone used on eBay last May for $400. The phone goes with me everywhere. It fits in my back pocket, in my cycling jersey, and my blazer breast pocket. The camera comes out far less often, though I enjoy the photos I take with it much more.A bit of brainstorming about the costs out loud here as it piqued my interest. It seems your camera was about 1000 € new. Maybe you update it in 3-4 years? Maybe 2 years if it is your main camera and you want best possible photos?
Nowadays as I have an ILC, I will update my phone likely in 3-5 years (depending also if it breaks somehow or battery life gets bad). It costs ~250 €. I use it for basic snapshots where there is no need for quality, internet, some video watching etc. Currently I have Motorola Moto G6, great budget phone.
My cameras will cost 300-600 €, I don't need the latest ones. Lenses of course cost a lot more, but they will also last a long time and keep value okay. I will use a camera likely for 4 years, I did with my first ILC, E-M10 II.
So my camera & phone upgrade in 4 years can make something like 550-850 €. Maybe more if phone or camera breaks earlier, but same can happen to your phone.
So let's see. If you upgrade your phone in 4 years, it would be 1000 €, but I pay much more for lenses (which abilities your phone doesn't have, but you don't need them.) I always have at least one ILC with me like you have a phone, in a bag or pocket and find it no problem.
If you upgrade your phone in 2 years, it will be 2000 € in 4 year period. This would be 1150-1450 € more than my upgrades in same period.
We also have to take into account the resale value of a phone and an ILC, but I don't have good guesses on the differences.
Any comments or problems with my thinking? This is related to the issue that with camera phones you lose the lenses you invested in, but with an ILC system you will keep the lenses when you change the camera. I don't see camera phone lenses free, as they aren't, but they seem "free" for many. People pay big bucks to get a great camera in a phone.
But... we here on this board are a privileged minority of consumers who own both Smarthphones and cameras. Billions of people around the world only own Smartphones... with cameras built in. They buy apps and content with their phones and feed a vast market of innovative hardware and software suppliers who see huge profit potential and will continue to invest in incremental and dramatic improvements to those phones to persuade the billions of people to upgrade their phones as often as possible.
That is a market dynamic that will suffocate innovation in the ILC market until its nearly gone in 4-8 years.