You not getting it, people will still not pay. What part of that do you not get, people don't buy apps. Maybe 1 in 1000 will pay the dollar or two for no ads. You can't support your app with that.
And just so you know, once people figure out if they click to not track they see little to no ads they will always click that and never see ads and not need to buy an ad remove option.
It's not that had to figure this out. No Ads = No App!
A lot of apps people use will simply go away now.
A lot of those apps are unnecessary anyway.
Honestly, when looking through "free" apps:
Games tend to be "freemium" pay to win, and some of them still have ads
Then you have a million simple feature apps like add a photo filter (that you could do anyway), with ads or Compass with ads, (even though there is a native compass app without) and so on.
All those going away will not be a tragedy.
Then you get into IG, Facebook, Twitter, and TikTok type ads - well, we they aren't dying out because they still have the clout to get paid to run ads (like network TV). They just no longer get to spy on their users as an alternative revenue stream. If they are that bent about it, they could try making a subscription service option for people that preferred to pay rather than be tracked (in case anyone trusts them), and see how that works.