For the same reason they took out the FM radio on phone, those devices with a million antennas in them:

It makes it harder for them to sell you Apple Music, Google Music, Spotify, etc.

I recall an HN thread in which it was claimed that in fact most phones can, but to enable it means more FCC certifications etc. Can't find it offhand; someone more knowledgeble should jump in. (I'd love such a feature myself.)

Some phones did. FM too. Sony I think? Early-mid 2000s I'm thinking.

My cellphone has FM built in also, I just have to plug in headphones. Wish I had AM, I normally just stream AM over data.

Many still do. https://www.kimovil.com/en/best-smartphones-fm-radio

My Nokia N900 had an FM receiver and transmitter, I used it a few times to stream music to my old car.

That TX feature is awesome as someone who enjoys older cars.

Yeah that's so cool. I mean Bluetooth was crap back then, if it was even a thing at all. Only way you could listen to music on your existing home / car stereo without any wires.

They used to! But you had to use wired earphones for it, because they'd use the earphone wire as the antenna.

Some phones do. I had a Motorolla G5 Plus a couple years ago, and used it often to listen to the radio on walks.

Because 0.01% of people would actually use this.