Corporations spent hundreds of billions on LLMs to crator the value of skilled labor, justify mass layoffs, and launder stolen content, all to cut cost. Whether it's legal regulations or basic human rights, in the eyes of sycophants, any perceived risk to their profit margin is deemed unacceptable including their own employees.
Smaller companies are themselves not meant to survive and intended to diversify legal risks and consequences (e.g. Alphabet and Meta split from Google and Facebook). This way they can be dismantled and sold once the legal baggage becomes unprofitable without risking the wealth that has long since been funnelled to its 'legally distinct' owners. The collateral damage to the now unemployed is simply one less thing off their balance sheet and is much easier to do when you have home turf legal corruption advantages.
So no, it's not about generating stable wealth long term as it is about capturing any source of capital by any means necessary, legality and morals be damned.