On point! Been saying this for years. I bought my house and had sellers agent represent me. The seller went with our offer because agent made more commission. We were not the highest offer.
That’s another good point! Frankly, there’s really nothing stopping your seller’s agent from lying about the offers that are coming in or at least gently pushing sellers toward commission-maximizing offers, and the scenario you described is basically a push in the direction of buyers’ agents disappearing.
I found a house on MLS (20 years ago), and allerted my buyer's agent. She kept refusing to engage for some reason. We pressured her to inquire and ended up buyng the house. I later told this story to a neighbor and he said the builider's (seller's) agent was refusing to pay full commision to the buyer's agents. So I guess that's why my agent was ignoring the listing. :-)