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Why are all phones smaller than 7"?

Is it a rule imposed by the phone carriers, who want you to buy a different plan with no voice service if you have a tablet? It can't be the phone makers since the are so many. It can't be Android software licenses since Apple seems affected too. I'd be pretty interested in a tablet sized phone. But they seem to have maxed out in the current tall skinny format that is not really big enough for some things. Just wondering.

Edit: aha, I managed to get rid of the stupid photo. Thanks for the help.

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