Most Google ads comes from Google search, its a misconception Google derives most of their profits from third party ads that is just a minor part of Googles revenue.
You are talking past each other. They say "Google search sucks now" and you retort with "But people still use it." Both things can be true at the same time.
You misunderstand. Making organic search results shittier will drive up ad revenue as people click on sponsored links in the search results page instead.
Not a sustainable strategy in the long term though.
