Yes, that clause/phrase restricts the company's rights with respect to their license to your data. Essentially, a clause like that is necessary for users to interact with the service. Makes sense when you think about it, how can they provide service if they can't use the data you provide them?

It's a pretty typical clause you'll see in most SaaS policies.

Source: I work for a SaaS, but I am not a lawyer, caveat emptor.