Comment by kstrauser

That license agreement covers their online service if you opt in to use it. This reads like every ToS for a SaaS product I’ve read in ages. If you don’t want to use their paid service, don’t create an account and configure it in Zed, and then this doesn’t apply to you.

I’m not associated with Zed in any way except as a user. That said, this is a bonkers misinterpretation of their ToS. You don’t grant them the right to eat all your data just by using the editor. You do give them the right to process your data if you sign up for an account and opt in to send them all your data for processing.