Lots of people want a car with more features, and don't wish to control it directly. They would rather have a solid-state device that can't be repaired, but doesn't need to be. They don't want to upgrade it themselves; ideally, they don't want it to need upgrades until they buy another one.
But you've got it exactly right: many consumers want the car industry to go iPhone, for the same reason they want iPhones. That's neither objectively worse nor objectively better. The only objective thing is that a ton of consumers want it, because it suits their needs. And part of that is achieved by avoiding development by the kinds of techies who think that their preferences are objectively better.