Earlier quoted context omitted.
By this logic our computer operating systems would not improve, ever. Web browsers, built-in networking, music players, image editors, mail programs, even Solitare - all things that at one time were separate market segments.
All of those products have been improved by COMPETITION. The most critical, most important and ONLY thing that makes modern capitalism work for non-rich human beings. Every single field you mention was thriving when there were multiple players fighting over your money and have started to become exploitative and abusive as soon as one player killed the others and started rent-seeking. Competition is crucial for market…
The differentiation is purely marketing. Some VPN providers are basically grey market means to bypass TV blackouts. Others claim to be privacy focused, but are in fact the opposite. A few are actually privacy focused.
IMO, having megacorp(s) roll up the junk use cases actually drives meaningful competition by putting the lousy players out of business or driving consolidation in a crowded market.