Now that it's a viable model, why would anyone choose to have N-1 revenue streams when they could have N? It's not like businesses always act on principle over profits.
Combine the consumer's low perceived value of privacy (thanks to intentional and unintentional actions of the businesses doing the surveillance), the fact privacy is largely a market for lemons, and the low number of options in the marketplace. Together you get service providers that rarely lose business for choosing to survival their customers.