We never saw anywhere near those numbers in production, but I don’t really blame them - it was a big company and you do what you can to get ahead. A lot of money was spent on infrastructure that wasn’t needed but nobody seemed to care.
Whenever someone asks me this question, I reply with a question "How many simultaneous users do you/we have today and what is our projection say for 12-18 months from now ?". If the answer is not clear, I tell them not to worry yet. If the answer is very clear but numbers are much smaller today (say 5-10), then I challenge them on where they think they/we could be in 12-18 months. A lot of times, it helps the other side see that they are mostly asking "How long is a piece of string".
I told them I'd buy another stick of RAM and scale vertically until I had more customers, and save money on staff in the meantime. The interviewer went cold, I didnt get the job.
There is no technical problem. The problem is nobody worked on actually marketing the product. Build it and nobody shows up is the norm.