Actually, there is a third business model which doesn't exploit its users' privacy, nor does it have to resort to closed-source licensing (but selling add-on services like support and customization). This is the model adopted by companies like Red Hat, Canonical and to some extent Google (in a few products).

The future, in fact, belongs to this third business model that helps a business earn profits without hurting its users in any manner. Ultimately, all the IT companies will have to embrace this model in order to stay in the market and survive. Competition will ensure that they will.