I go to a university that uses office 365 for email/document sharing etc. I have friends who go to universities that use the equivalent Google products. I went to a high school that used Google classroom for a variety of assignments.

Well, EU ruled citizens can not be forced to give up their privacy to use a product/service. Google, msft, apple etc can play by the rules (which Google clearly does not according to this research) or accept the consequences.

As you might guess, the legal interpretation of "not being forced" will be more nuanced than "theoretically the guy could abandon a normal life in society to not have to use this".

For example, not being able to use a smartphone is generally not considered a sensible state for a citizen to be in. Even only being able to choose from one offering, because the other is criminally bad in terms of privacy, is generally not considered sensible.

I'm saying "sensible" here, with which I mean that it's not in the interest of the population as a whole for individual persons to feel impeded like that. Often enough rulings don't come down to right or wrong, legal or not, but rather to this type of sensible.