Call it a failure of the free market and competition to provide effective alternatives. Call it a lack of oversight and regulation from governments that increasingly back businesses and economic figures over protecting their own people. It doesn't really matter. Until there is clear law that says selling products to people that will actively act against the interests of the purchaser must at least be prominently disclosed before purchase and probably in the more serious cases simply be banned by law the enshittification will continue because it makes the decision-makers a lot of money.
Obviously this should be seen as a disaster scenario (and highly likely outcome) for a capitalist society.
In particular I reject the notion that any organisation or system is too big to fail. If any commercial organisation or cartel is reaching a position or scale where its failure would represent a significant threat to the economic stability or indeed the democratic government of its host nation(s) then it is imperative that it should be quickly - and if necessary brutally - brought to a position where either it no longer poses such a threat or it is effectively destroyed and space is created for alternatives (possibly derived from the original) that will better serve the society they are part of.