Nintendo’s privacy policy (which is probably in line with those of other app providers) is the problem. Or at least symptomatic of ‘the problem’. Our entertainment/news/media and IT industries are characterized by pervasive contempt for user privacy, autonomy and dignity. (Due essentially to contempt for the user as a person). Their sub-culture of contempt has leaked out into mainstream society over the past 2 decades.
We are inured to it. But, I do not believe our tech and media had to develop these intrusive capabilities, certainly not to the extent that is normative today. It happened for socio-cultural reasons. It happened due to a level of contempt for the common man – the user/customer – that would have seemed freakish, alien and counter-productive to our analogs in the middle of the previous century.
Forced binding arbitration is a similar cultural phenomenon. Like data grabs it’s indicative of the society-wide loss of power & prestige of regular people. In the media, in the government, in tech fields… those who make decisions no longer have a decent fear of the people they ostensibly serve. We are merely a target population.