Purpose - /profiles/* folders contain the OSGi component files for your applications such as IS, MWS, SPM, etc. This is to administer your applications through Command Central (CCE), which relies on the SPM plugin.
If you open the OSGi startup.sh script (i.e., wrapper) you will see that, apart from other activities, it invokes the internal startup script. Reading up about the OSGi framework online to understand more.
Deprecation (answers your question) -
Source - https://documentation.softwareag.com/webmethods/wmsuites/wmsuite9-8/Integration_Server/9-8_Integration_Server_Administrators_Guide.pdf
KM
#webMethods#Integration-Server-and-ESB