People keep confusing targeted attacks with bulk data collection. Nobody doubts the NSA can successfully launch a targeted attack against nearly any organization.
But that's not economical to do against everyone all the time. Whereas bulk collection of unencrypted or poorly-encrypted data from the handful of biggest cloud providers and network operators is cheap and easy.
So yes -- leaving the big providers in favor of competently-managed small-scale, lesser-known providers is probably a step up in privacy.