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It could be profitable, but it isn't as profitable as making an unreliable and overly complex piece of crap that increases sales totals which jack up stocks.
Hell, being profitable isn't even important for lot of businesses anymore, they just want growth.
I think this is recently apparent with Instant Pot. Their first model was phenomenal, and if you have one, you probably still do. The newer ones are still pretty good, but they come with small issues, don't work as well and need more maintenance. Plus, Instant Pot now offers a host of bullshit add-ons to round out the sales line-up.
I had heard they were considering bankruptcy at some point prior to their recent line of products.
Think it was something about being bought out by private equity, and being run into the ground. I've loved all of the instant pots I've owned, only have had more than one because I needed a bigger one.
Being bought out by private equity is a massive red flag for quality, they always go cheap and ride the brand recognition as long as possible.