There's still a small market though for 'high end' P&S type cameras - larger sensors stuffed in small bodies. If you're looking for a P&S that will provide a larger sensor and more zoom flexibility than a phone, you may look into the Sony RX100 series (current models are IV and V), Panasonic ZS100 or LX100, or Canon G7X MII. Most of these use the larger 1" sensors, one uses an M4:3 sensor, and all have a good measure of manual control, several have viewfinders, some even have on-sensor PDAF focus systems for tracking moving subjects, all offer RAW shooting, and several different multi-stacking, pano, and other type features.
The Sony RX100 V is probably one of the most well rounded of the pocket-sized cameras, squeezing in OSPDAF tracking and 24fps burst shooting, a pop-up electronic viewfinder, 24-70mm F1.8-2.8 lens, stabilization, 4K video, all in a pretty tidy 4" x 2" x 1.6" body. The 1" sensor is considerably larger than the one in most phones and generally will provide more dynamic range & better high ISO performance, with the optical zoom range being more useful than a fixed lens phone with digital zoom.
Not that phones are not incredibly capable for general purpose P&S needs - they pretty much crush the old P&S models from a few years ago with excellent processing algorithms...but some folks might still prefer a true optical zoom and some more 'camera like' control than the phone interface, including a viewfinder, and by sticking the larger sensor in the P&S bodies, they've created a niche market that can still survive above phones but below interchangeable-lens cameras.