it's about the interests of each party.

The interest of a government is to control its citizen, either now or at some point in the future.

The interest of a private company is to make more money.

Between the two, I certainly prefer a private company attempting to monetize my data rather than a government trying to control me either now or in the future. And let's stop the bs about "public servants", even in the EU which is maybe the most democratic bloc in the world, governments are trying to impose a chat control (among other laws restricting freedom). It's just in the nature of governments to control its population

You missed a spot:

In most situations, private companies will share any data they have about you with the government anyway. And can be compelled by law to do it.

So going private is net loss.