Erm. What's with the optimism at the end here? Isn't this the example of the exact opposite? Despite being promised "curated niche interests" somehow these attention algorithms on huge centralized platforms find a way to turn everyone on the platform into a consumer of a particular trendy item?
I find it so disturbing that a lot of "niche interests" on the Internet these days seem very consumer focused.
OP is also marginally underestimating the impact this move would have on Google's competitiveness - they are making huge gains prototyping at light speed; this will halt their AI hardware acceleration plans pushing them back into slower software development on ever aging hardware.
It also shows why Nvidia is not afraid of competitors coming out with new desgings that obsolete their hardware: what good are superior designs with no fabs to produce them?