> "clogging up your filesystem"
In this context, I mean that in two ways (but mainly #2):
1) macOS has a feature (Spotlight) where I can search all of the files on my entire computer with a simple keyboard shortcut. >99% of the time, the result pops up within a second. I use that feature literally dozens of times each day. With LaTeX installed, I got a lot of results that are not relevant to what I want. In hindsight, I should've just disabled the indexing of the files in my install directory.
2) My computer (at the time) had a 64 GB hard drive. As a result, I was straining against the limits of that pretty hard. Uninstalling MacTeX (I believe that was the distribution I used) freed up at least 2 GB. I'm not sure why there's a discrepancy between your quoted figure of 1.2 GB and my experience.
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In addition, ShareLatex's UI was far superior to anything available for OS X (at least, at the time).
My primary interest is in making myself as productive as possible. If using non-libre software gives me significant gains in productivity while not being unreasonable with their licensing terms/costs, then I will use it. That's the same reason I am using macOS. By using this proprietary piece of software, I do not have to tinkle with the inevitable strange bugs that pop up with the various libre options and therefore I am allowing myself to be the most productive I can possibly be. Every time I have tried using a libre OS, I have experienced some kind of bug that's simply impossible to diagnose and solve.
In sum: the value proposition of non-libre software is increased productivity. I highly value productivity. So, I am willing to make the tradeoff. I recognize and accept that if everyone does this, the world is worse off. But, I am selfish and therefore am willing to make the tradeoff (to some extent; my willingness to tradeoff is not infinite).
Sidenote: I could (technically) not throw away my freedoms by hosting my own instance of ShareLatex (as it is, now, licensed under the AGPL), but that's highly inconvenient and I have no interest in being a system admin. Again, this goes back to the idea of increased productivity by using "proprietary" services.