Wouldn't it be more accurate to say the Large reactors make more sense in some situations?
If all you need is 50 MW, building a 1 GW plant makes no sense. If you have a projected growth of 25MW per year, and you are bumping against capacity, you have the choice of building out a 50 MW mini-nuke every 2 years or a 1 GW plant every 40 years, the time-value of money on a big plant will kill you for production costs in the short term.
Maybe the modular plant will actually be cheaper once your start producing them in volume, given a streamlined licensing path the the SMR.
The question is whether the natural market for SMRs is sufficiently large that they can ever become competitive, or at least large enough to justify the R&D, etc. needed to produce them in the first place to justify them as an independent market. Some people are betting they can make this work. Under a capitalist economy they are generally free to make the attempt with limits.
mPower may have reached the point that their attempt is going to fail. This does not directly affect the others making the attempt unless investors as a class lose interest in SMRs because of examples like mPower.
If I had an extra 10 billion USD, I would invest heavily in SMRs -- mPower, not a dime. I would bet on LFTR and maybe other fission techs. For example, this reactor design looks like a nice candidate for an intermediate complexity solution -- still a big downside in term of fuel burnup, but might be worth the investment too.
Nothing for fusion though, I don't expect to live long enough to see it pay it. I see SMR as a natural outcome of better tech, not a tweak of a pressurized light water reactor.
I would agree that mPower will never really result in cheap nuke option. The complications necessary to make LWR reactor "safe" fight against scaling down to smaller plant designs.