Easy. They provide this new general purpose model through the website. Bam, that's a Service that uses photos to customize. They can also expand what counts as a Service unilaterally.
With this broad of a privacy policy, they can start MyFitnessPal.com/UncroppedCandidPhotos where they let people search for users by name, email, or phone and sell your photos to the highest bidder, and that still would count as a Service that uses photos to customize. You consented to it!
> This feels like the kind of flimsy reasoning that only holds so long as no one is challenging it.
No, it is written by professional lawyers to be as permissive as possible.
