So, this scenario isn't exactly uncommon in the startup world. It happens all the time. But because she's a minority female and her competitor is a white man, it suddenly becomes an example of white supremacy and the patriarchy conspiring to oppress her. The VCs who funded the competitor? Obviously racists and sexists, and she called them out explicitly as that on Twitter.
I considered reaching out to her to offer some perspective, but ultimately demurred. Why? I didn't want to be caught in the wurlitzer. Better to let her make more problems for herself than offer a sense of perspective that could get me cancelled.
The scenario you paint is uncomfortable - only because there have been a fair number of situations (music and elsewhere) where the white person really has raked in the cash off a minorities good idea.
Luckily my friend was the competitor trying to compete in a market much more crowded than she perhaps realized.