I remember waiting patiently for Netflix to arrive in Australia, and then as soon as it did arrive, a flood of competitors decided to "me too" into the party. They were too afraid to be first, so I've stuck with Netflix out of respect for their blazing the trail.
The competitors such as Disney and Paramount have caused the enshittification by fracturing the offerings; walling off their IP into their own individual gardens rather than licensing it out.
Ideally there would be multiple Netflix equivalents, with slightly differing value propositions, but with significant overlap in content licensed from the likes of Disney and Paramount.
That's not the present we've found ourselves in though. It's an interesting outcome of how "the market" works.
I feel like I'm an apologist for Netflix, and so I must be to some extent, but Netflix are reacting to the market it finds itself in, in order to remain viable.