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I do, but I don't upload it to any other parties.

What exactly is the comparison here?

Remembering my shell history for commands I run locally on a single computer, stored in a format I can control/edit, that is never transmitted to other people or used for advertising, that is fed into a simplistic history algorithm I have complete control over, and that I can toggle on and off at will even for individual commands -- that's the same as a 3rd party analyzing on remote servers everything I look at while I'm walking around the real world?

Only for the current session. When I close the terminal it is all gone

Yes, and you can lead a command with a space for it to not be remembered in history. You can also delete it, and nobody else can access it without privileged access to your computet