What does it tell us exactly?

That doesn't make any sense.

How could addressing that single incident help explain Triplebyte's failure to find product-market fit?

Privacy violations sure haven't stopped any other successful corporation I can think of from finding product-market fit.

Their product was a two sided market. Two sided markets are always hard, but it doesn’t get any easier if one of the sides (job candidates) loses trust in the platform. Glassdoor is finding out the same thing.

If you’re looking for examples where privacy violations hurt a company’s chances for success, look at Instagram for Kids. It was cancelled largely because the kinds of parents who would even consider such an app don’t trust Meta.