Comment by AndyMcConachie

You have a point, but two counters to this:

1) You don't need to capture a large part of the market to make a profit. The market for smartphones is large enough that even capturing a small percentage of it can be profitable.

2) Privacy is increasingly becoming a differentiator and I predict privacy will be increasingly important as a differentiator. Just because no company has successfully managed to market privacy benefits doesn't mean there is no market for it. There's a lot of marketing potential in terms of privacy that companies like NordVPN, Incogni, and DeleteMe have figured out. People are clearly willing to pay for privacy.