The way to make Firefox better is by not doing the things that are making the other browsers worse. Ads and privacy are an example of areas where Chrome is clearly getting worse.
LLM integration... is arguable. Maybe it'll make Chrome worse, maybe not. Clunky and obtrusive integration certainly will.
These comments are full of people explaining how Firefox can differentiate from chrome and safari: don't force AI on us.
So the only user base is the power user. And then yes: sane defaults, and a way to turn things on and off. And functionality that makes power users tell their power user friends to give FF a try again. Because if you can't even do that, Firefox firmly deserves (and right now, it does) it's "we don't even really rank" position in the browser market.