Not true. Can you back up your claim that the developers of Sqlite says they dont recommend it for webservers? (hint they recommend it).

If you have a read-heavy app (99% of saas) that runs on one server and dont have millions of users then sqlite is a great option.

I didn't say that. I said one local client at a time. If you're running on one server then your webserver is the one local client.

Usually you want to be able to run multiple webservers against a single database though, since that's the first thing you'll usually need to scale.