Mozilla claiming to be the champions of privacy (among other virtues) makes this arguably worse than Google, Microsoft, et al. because they're at least upfront about their telemetry.
Yes, they are all doing it, and it's all bad. Though Firefox is especially culpable since most of their marketing is about privacy. It's apparently only bad when other people are spying on their users.
I'm fairly certain the telemetry can be disabled, but it is enabled by default and it's among the top 10 most blocked addresses in my Pi-Hole.
Frankly, I'm weighing the benefits to cost ratio of just blacklisting all Mozilla domains if this gets worse.