I think they have recognised it and are trying hard to think about what the best plan of attack is on it.
Bigger tote pools give punters better liquidity, greater price stability and make tote betting more attractive which goes right against what they have been creating since they arrived on our shores with fixed odds, boosts, bonus bets, multis etc. Also it is basically a Tabcorp product who Entain are in direct competition with so Entain are in between a rock and a hard place.
As an example imagine a one pool win pool getting upwards of 500K where you can put 2K on a $15 runner and the odds would not be affected that much vs the TAB only allowing you on the same bet for $250. It a no brainer the one pool is much more attractive especially for restricted punters. It makes the Entain monopoly look a bit shaky if the pools get as big as I hope they do.