A real dichotomy is a binary choice. Any false dichotomy is that binary choice forced to the absence of other possibilities. This is a false dichotomy.

First of all it excludes the idea that there are revenue options other than advertisements. Secondly, it excludes the idea that advertisements can be relevant to a user's session that are contextually valid and otherwise ignore user history, which often tend to produce the most relevant ads. Third, the relevance of ads shown to users is highly debatable as most of the supposedly relevant ads shown to me are only 1 step away from the spam I get in email. Fourth, relevance can be determined by factors other than user data, such as search term auction. Fifth, privacy violating ads have shown to be extremely effective, such that if a person buys something ads for that thing are shown to the person's friends with compelling social pressure.