Smaller and simpler I buy. Higher profitability I don't. Every serious analysis of this has suggested that ChatGPT is a loss leader, for example.
I'd similarly be very skeptical of claims that Kagi has better margins that Google Search (and I doubt even the Kagi founder would make that claim with a straight face):
I was the one who made the case to the founder back in 2021, likely along with several others, who didn't think providing unlimited search for a flat rate had any path to profitability.
TikTok (Douyin 抖音) can just lose money and have it's losses covered by the Chinese Government, as long as it keeps broadcasting the right message abroad.
I am pretty confident Americans are quite capable of selling plenty of crackpot medical advice and monetizing viral scams to ourselves on our own, thank you very much. It may be something we are in fact #1 at, with no sign of diminished capacity.
It's a competition for how much man is willing to flush his existence down the toilet.