Search for 4TB or 8TB USB sticks on amazon.com. You’ll find dozens or hundreds of $20-30 16GB or 32GB sticks with hacked firmware to report a multi-terabyte drive size, and dozens of one star reviews talking about how it lost their data. Those sizes, if real, would be $400+.
Of course they know. They have no civil or criminal consequences for engaging in a conspiracy to commit large scale wire fraud, so of course they just let it happen, because who wants to speak up and cause the metrics to go down?
In some countries where the consumer law is protective enough you can basically get those USB sticks for free. You buy them and then use a linux tool[0] to prove that they are fake. It also allows you to fix the flash drive to report its size correctly. Using the evidence you claim a refund. In my experience the seller doesn’t usually bother with a return which will be at their cost. So then you’re left with the USB and your money.
This also incidentally has the effect of making their business less profitable, so arguably it’s your moral duty if you can do this at no cost to yourself.
It really depends on the platform and your country’s consumer laws. Some platforms force a return which makes this whole exercise not worth it.
[0] https://github.com/AltraMayor/f3