Competition works, and is important, because you would rather make $1 for yourself even if it reduces someone else's profit by $10. Which is how the market gets $9 more efficient.
Sometimes the status quo sucks. This is often caused by a lack of competition or some kind of information problem. In media it's a little of both, but the main one is that people don't understand how they're being manipulated because the people they rely on to help them understand things are the ones manipulating them.
Social media algorithms aren't designed to make you happy or informed. They're designed to make you spend all day on social media.
It's not that hard to design algorithms to do the opposite. That's not the problem. The problem is people aren't informed of the choice, or don't have a choice because the network effect locks them in and the network doesn't let them choose the algorithm.
So we need to solve two problems. First, divorce the network from the algorithm, so people can choose. Second, people need to be informed, so they choose the one that works for them instead of against them.
The person who figures out how to do this gets the $1 at the expense of costing Facebook $10. But they're currently getting nothing, and 10% of what the incumbents get is still a lot. So who wants to make money?