You rightly point out the ridiculous claim, noting people don't use embeds as a favour to twitter - and then make the ten times more ridiculous claim that people are using embeds because of the TOS.
At least try and hide the fact you're being bad faith if you're going to engage like this.
Really? For me this is like saying that just because you stop actively publishing a book, people can never quote it again. That's clearly not true, right?
Edit: or because I didn't distribute recordings of a speech I made, newspapers can't quote me
But also, we could not actually expect anything different. The capitalist/corporate environment in which we operate will systematically compel these companies to choose profits over social obligations. They are accountable to their customers (advertisers), and so whatever moral transgressions we people on the street may perceive -- they don't really play into Twitter's decision-making...
This is a very poor argument. It does not necessarily follow that profit seeking results in this outcome, in fact it could easily be the opposite case, and so your assertion has no footing.