That's the problem though: pampering to competitive gamers ruins the experience for the vast majority of people, who just want to, you know,
enjoy a game. Unfortunately, competitive gamers are the only ones that matter - they're the cash cows of this part of the industry, which now focuses on creating as many such players as they can, and milking them for all they're worth.
Consider how cheating was handled back before AAA games turned into videogame equivalent of Marvel Cinematic Universe movies: if you were found cheating, you were booted off the server, period. There was no matchmaking bullshit, the games weren't nudging or limiting you to play on the ladder, against global ranking. Instead, you had local and international servers, public and private; you had neighbourhood servers, and servers run by groups of friends, and themed servers, etc. - in other words, servers were communities. As diverse and rich as human communities can be. And they handled cheating in ways communities do it.
On smaller / local servers, people wouldn't cheat because the community extended past the game to other on-line places, and/or to meatspace. Everyone was friends with each other, and being a cheating asshole is a fast way to lose your friends. Scaling up, you had all the mechanisms one also saw on discussion boards: some servers had owner or moderators ban anyone they didn't like; others voted. It was nicely self-regulating: servers weren't sticky, so being banned as false positive (or out of spite) didn't hurt. People didn't like power-tripping server operators? They'd switch over to a new server, run by someone saner.
Were there still cheaters? Yes. Assholes and griefers happened. But without a single global ranking to compete for, cheating was mostly self-defeating: there was no reward, no incentive, and you'd be just ruining the fun for yourself.
Yes, cheating is kind of a proxy reason why I don't enjoy multiplayer games. But the real reason is this: modern games feel like suddenly all the little soccer leagues were required to follow all the FIFA rules, were allowed only to play registered games, only to use pitches and equipment and balls and clothes that are certifiably up to spec, regularly audited - all because it might happen that our ad-hoc team of Sunday players would one day be visited by a World Cup team, and it would suck if we had an unfair advantage.
It's just ruining the game for everyone, for the sake of a small group of people running a racket.