I think what Eelo is trying to achieve is interesting. They forked LineageOS, but they understood that nowadays a smartphone is not that smart without services (email, map, contact/cal sync, etc), so they plan to develop their own services that respect privacy. Now, will these services be on par with Google's? Of course not, but if they're good enough, it could be a game changer.
Providing a "good enough" service in a sustainable way is very, very difficult. Maybe you can make the service happen, but services require a continuing revenue stream, and that is hard. Especially when you don't own the platform, you don't own the hardware, and your only selling point is that you'll promise to ignore the biggest potential revenue source.