Great piece by Benedict Evans, comparing the iPhone to the HMS Dreadnought, the first modern naval battleship:
The Dreadnought also created a problem. The Royal Navy had been
funded since 1889 on the ‘Two Power’ rule — that it would not only
be the strongest in the world but that it would also be stronger
than the next two largest navies combined. Hence, the day before
the Dreadnought was launched it had 32 battleships where Germany
had 11 — a huge lead. The day after, it effectively only had one.
It had to start again. The naval supremacy question was reset.
This is rather what the iPhone did, to both the mobile business
and the entire consumer technology industry. All the existing
parameters and entrenched advantages went away and the whole
market was reset to zero.