If you are taking hundred of millions in funding, sure you need to capture the market of "all the people". If you build something that's just for a certain group of people, you can compete by just having a better product that specifically addresses those users needs.

Look at HN, I know, run by a VC and it's not without some issues, but it is still better than most forums and social media to me specifically because of what it doesn't try to do. It has a specific goal and doesn't feel the need to try and extend beyond it.

My ideal is that in the future we will more communities like this, where it's built to address a group of users needs and not try and expand beyond it. Where the content and information is shaped in a form to meet the specific needs of the group using it and not generalized into the lowest common denominator so ad sales can go up. It feels unlikely at this point, but I still have hope.