It's not about ability though, they can do all that and some more. It's about focus, they're so large, they might not focus and react and change quick enough like the smaller players with inferior technology might.

This pattern plays out all the time in the tech industry. You think google didn't know how to make a website like facebook? Of course, but they couldn't beat a much smaller weaker opponent even then. Google now is about 8 times larger than Google 2011 and much slower.