No it isn't hard to comprehend but it isn't relevant here. Privacy doesn't mean no ads and nobody is preventing facebook to require users to pay a fee.
It is similar to organs. It is illegal to sell/buy them. You can still freely give them away(donate them). Privacy is similar to that. You can't buy/sell it but you can freely give it away. In this situation Facebook seems to be trying to sell you your privacy.
Maybe you wouldn't. Maybe you'd go bankrupt. Can't say I'm sad about that outcome. Businesses that are only viable if they can violate people's rights don't deserve to exist.
You wouldn't. So what? You don't need to do that.
None of the services I pay costs that much yearly, and sum of top 5 most expensive services I use is still below that amount.
...or they're just an extremely inefficient company, I don't know.
There are plenty of companies running non-targeted ads that are doing just fine, and don't cost millions of dollars to run a year. Facebook wants scale at any cost, and that is unacceptable.
The argument that we have to put up with something we never asked for, but has been carefully integrated into society to be utility-like is disingenuous. I don't want Facebook or WhatsApp, but in the Netherlands they are now used by schools, and even government agencies for communication.
You can't have it both ways: Either you're indispensable (something Facebook has worked very hard to become) and therefore treated as a utility, or you're a private company that can do as they please.