macOS, iOS, watchOS, tvOS, embedded systems on AirPorts & AirPods, and more in the oven I’m sure.
Apple is “allowed” to do whatever they choose but their decisions are likely constrained by the reality of organizing so many complex products.
Not necessarily the wrong strategy or even a bad strategy. If there are enough people out there willing to pay in money and effort to switch ecosystems, there is space in the market for a smartphone with more simplicity and attention to detail.
If not, which I think is most likely, this is just what we’re stuck with.