Generally that’s true but there are outliers. Valve for example continues to rake it in while not turning immensely shitty. (Not saying they aren’t without issue, but they are vastly better than many others in the industry)
Similarly, the route that Hello Games took. They started off with an unfinished product rushed to market, but took the money made and invested back into NMS, continuing to release big free expansions to this day.
I think a big part is “don’t go public.” As soon as you go public, your dedication is no longer to your product / your customers, but to quarterly growth / gains for shareholders