1.0MB is quite large compared to 6.34kB :)
But yeah, the tradeoff of that 1MB is that you get a very functional shell environment vs just an http server. It's impressive just how small ut is, given everything that it is capable of
They do distribute statically linked individual binaries [0]. For just HTTPD and nothing else is about 85kb. But it is a lot more than just a static file server - it comes with CGI support.
Maybe.. I suspect a well-designed Forth image could pack similar capability in less than 100kB. So it might seem low, but not a miracle.