The reason it is different to the FDA is because a restaurant can't exist without serving food, whereas a company providing a camera app can exist without running facial recognition algorithms on the photos that are taken.
And "opting out" of the data-harvesting companies isn't akin to removing yourself from civilisation. You can still have photos, you just keep them on your own storage and don't give them to data-harvesting companies.
I agree that the word "algorithm" is used in an unusual meaning here, but I don't think we have a good alternative. It's probably a lost cause at this point, like with "hacker". Possible option is to use qualifier, like "decision-making algorithm" (similarly to how people now use "blackhat hacker").
"For someone who is clearly a strong proponent of privacy, it's disappointing that she doesn't even bring up the prospect of opting out of these companies."
I find her FDA analogy very compelling. (Despite the fact that I largely agree with Cyberspace Manifesto.) I mean, without FDA, it's very difficult to opt out of a restaurant that serves bad food, without somebody getting hurt. Maybe you can say, well, then don't go to restaurants and make your own food. Sure, then you will eventually end up removing yourself from civilization entirely.