The problem is in the hands of TrendCo, they can be used crudely to find the trendy hire who has the exact same ideas about engineering as the hiring person. Because giving the test costs TrendCo nothing, they are happy to throw people at it until they randomly find someone who is exactly what they are looking for.
Anecdotally, I and 2 people I later befriended applied for the same role. We each spent 4 hours on the task, all 3 of us strong coders who made a solution that would be suitable for any startup, all 3 taking different approaches based on our styles. We were all rejected, because none of the 3 of us hit upon the exact approach the company was hoping for, but didn't ask for. There was no opportunity to ask for this feedback either. And it took them nearly a month to bother looking at my code (even after I called).
Since then, I won't take these kind of tests unless I have reason to believe they are being given in good faith as a way to determine if a programmer is capable, not as a way to find their perfect ideal of a programmer.