The DESI DR1 preprint (arXiv:2606.02699) analyzes emission-line spectra from 1,678,787 low-redshift galaxies (0.001 ≤ z ≤ 0.45) via the [NII]-BPT diagnostic, yielding AGN fractions of 25.9% in high-mass systems versus just 2.1% in dwarfs (log M⋆/M⊙ ≤ 9.5). Among 17,949 broad-line AGN, single-epoch virial BH masses extend the M_BH-M⋆ relation to log M⋆ ≈ 7.8 and log M_BH ≈ 4.4, revealing a clear bimodality. This methodology relies on fiber spectroscopy of line-emitting galaxies only, introducing selection biases against quiescent dwarfs, while virial estimates carry ~0.5 dex uncertainties from broad Hα assumptions. The result reframes co-evolution: unlike the tight high-mass relation shaped by mergers and feedback, low-mass systems may retain seeds from direct collapse or Pop III remnants, aligning with JWST reports of overmassive high-z BHs (e.g., in CEERS and JADES fields). Prior smaller samples, such as Reines et al. (2013, AJ) on SDSS dwarfs and Baldassare et al. (2020, ApJ) on X-ray selected AGN, hinted at offsets but lacked the statistical power to confirm the split. DESI's EmFit catalog of 7.4 million decomposed lines enables future IFU follow-up, yet remains limited to z < 0.45 and optical diagnostics that miss Compton-thick nuclei. The bimodality implies galaxies and BHs follow two tracks—one merger-driven, one secular—potentially resolving tensions between local scaling relations and early-universe overgrowth.