I don't think the smartphone is inescapable at all, and I don't think any of the conveniences it offers is worth surrendering one's privacy. But there is a tendency in businesses to ignore the fact that some potential customers do not have smartphones. I wonder if legislation against this might be possible.
There is one smartphone with those: https://puri.sm/products/librem-5. The alternative one, Pinephone, has quite inconvenient kill switches.
One of my banks has been closing branches left and right, and if I want to use my accounts for anything other than debit purchases, I need to use the app. Some banks even charge you when you go to a branch location in person and use a teller to access your accounts.
Some jobs require you to install and use apps on your phone. Last time I was a big box retailer, the floor staff had the company's app installed on their phones so they could do instant price look ups and confirm discounts on their store's inventory.
Even just applying for a job requires an internet browser, and many people's only access to the internet is through their phone.
I think the original landlines, which were/are a few switches connected to a write on one side and some microphones on the other, were close to inherently insecure. Phones haven't ever been "your device" whereas a laptop might, maybe be rendered trustworthy.