My argument is more that forcing tech companies to invest in distributed data ownership tech would push that forward in a way that would enable more competition

My argument is more that forcing tech companies to invest in distributed data ownership tech would push that forward in a way that would enable more competition of services because your data would be portable, not locked into vendors like it is now. In the short term it might result in less variety, but only until the tech proliferated and reached maturity. Then services could simply spin up on top of the data that you already host yourself. So you would have to take on the responsibility of finding a good way to host the data you want available (probably from your phone), but after that you would be able to use any service willing to operate on your data, but your data would be in public standards, not proprietary storage inside a facebook/google/amazon data center.