Leetcode is fine for large companies where software engineering is essentially a factory worker position - you take ticket in, produce code out. Engineers have very little say in the product or business.
In this situation, things like soft skills, thinking outside the box, etc are actually a downside. Rejecting the Homebrew creator is a desirable outcome in that case - because said creator is unlikely put up with "ticket factory" work.
If you legitimately need a "ticket to code" machine, Leetcode is the right approach. Just that most non-FAANG businesses need more than just "ticket to code", and then Leetcode becomes the wrong answer.