[pinkythepig]

Isn't this model already relatively heavily used? There are loads of apps that have a free ad supported version, but if you pay for it, all ads are removed.

They could spin it in a similar way:

Ad supported version is free. As part of this free service, you are tracked extensively to build a valuable profile for sale to ad companies.

By paying for the service, all ads and the associated tracking required to make your profile valuable to advertisers is disabled.

In this way, the tracking is spun as a necessary evil for the ad supported model to work.

This would probably require them to be pretty open about what sort of tracking is going on.