I doubt that anyone at Facebook cares about small businesses beyond making money off them, but they do have a point here. Instagram & Facebook are at the center of a lot of small businesses/side hustles. Those depend pretty heavily on advertising to generate sales or to monetize their posts.

I'm dubious that all this tracking really is that effective for ads. But linking a purchase to an ad is undeniably important. If you can't do that then the current system breaks down. Hard to know if what replaces it will be better or worse.