YUV420p is the only pixel format that all H.264 compatible decoders MUST support. Other formats are optional.
In practice that means that most hardware decoders (not just iPhones, also other phones, TVs, older PC GPUs) won't be able to decode YUV 4:2:2 or YUV 4:4:4 videos.
It's kinda annoying, since YUV420 really messes up red text in screen captures for example.
You need this parameter to force ffmpeg to convert the color space if your input isn't YUV420P (it defaults to keeping the input pixel format to avoid quality loss).
Yes, it’s because red is dim. Dark blue (like, RGB 0, 0, 255) also suffers, perhaps worse, but that shade of blue is hard to reaf even when it is reproduced perfectly.
The capture pixel format depends on device - I think 4:2:2 is pretty common for webcams, which in H.264 requires profiles that aren’t widely implemented outside of x264 and ffmpeg.