But no, businesses are dumb. They always have been. Existing businesses get disrupted by new ideas and new technology all the time. This very site is a temple to disruption!
Proprietary advantage is, 99.999% of the time, just structural advantage. You can't compete with Procter & Gamble because they already built their brands and factories and supply chains and you'd have to do all that from scratch while selling cheaper products as upstart value options. And there's not enough money in consumer junk to make that worth it.
But if you did have funding and wanted to beat them on first principles? Would you really start by training an LLM on what they're already doing? No, you'd throw money at a bunch of hackers from YC. Duh.