Have you done A/B tests to see if consumers prefer Facebook with or without privacy?

No? What? Oh, you can't?

Neither can consumers. Most consumers are very aware of the lack of privacy, the manipulation, and have very cynical feelings about Facebook and similar companies. But it's where their friends and family are.

For most people the web is a mine field maze where basic things they want are compromised everywhere. And they are routinely creeped out by ads that reveal they know them far too personally.

You are mistaking network capture for preference.

Another telling example. Lots of privacy valuing technical people, who would never have a Facebook account, send unencrypted text emails.

It is network capture, not preference.