https://www.streamtvinsider.com/advertising/roku-vizio-lean-...
If consumers are unwilling to shell out for a TV priced high enough that the manufacturer doesn't need to do things like this to earn a (decent) profit, then what we've got is what you get.
You could certainly argue that the industry should've held the line, but that ignores human nature. One "innovative" manufacturer was always going to break ranks then the rest would follow, especially since the typical consumer appears (judging by the lack of non smart TV's for sale at consumer prices) to prefer lower prices to lack of tracking features. I think people very much like being able to buy a 65" tv for USD399.
If you want to mandate the sales of TVs that don't track, get a law passed. I suspect it'd be deeply unpopular once the resulting price rises were known.