This is Microsoft enshittifying the platform they acquired to squeeze more revenue. But this is totally fine, because as user hostile and evil as the Microsoft corporation measurably is, they made a cute jpg few years ago about loving opensource or something (yeah, I know, those are different things, but I'm calling out their PR bullshit and the usual bootlickers)
I’ll bet people said the same thing when Intellisense started suggesting lines completions.
I'm sure many did, but I'm also pretty sure it's easy to draw a line between code assistance and LLM-infused code generation.
Telegram never was private, group chats never were encrypted (and that's not an opinion: the feature simply is missing). If anything, they are just removing their false and deceiving claims. That they remained there for so long is something I can't wrap my head around.
I'd argue XMPP is less ideal than Matrix because groups are located on a single server, which makes them easier to take down than Matrix' replicated state.
That is true, but it's never been a problem in my relatively long experience with XMPP: some server software can be used as a cluster and distributed, making it highly available (basically, the whole of WhatsApp runs on a fork of ejabberd), and the comparatively tiny resource usage of XMPP contributes to its stability.
XMPP does have a spec for F-MUC (distributed rooms somewhat like Matrix, many years before Matrix) and my rationale as to why it never picked up despite a whole decade of "competition" from Matrix is that it's a problem that just doesn't need solving. The price to pay for it is hefty: Matrix resource usage (bandwidth, CPU, RAM) is insane, its protocol complexity makes it a single-vendor implementation (which is risky on very practical grounds), and it's not even bulletproof for the niche use-case it set to tackle: in the end, your identity server on Matrix remains centralized.
You can tell that I'm partial to XMPP, but that's only after having been a service operator for years, with my original expectations largely favouring Matrix.
I think you should give Trilium(Next) Notes a try:
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it has the hierarchical notes structure that you are familiar with in obsidian
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it has better ways of keeping things organized (attributes can be values or references, can be shared and inherited, which provides a flexible framework for having notes "types" as templates that can be extended, e.g. people vs. colleagues, businesses vs. companies, etc)
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it has the concept of note hoisting (which lets you focus on a note and its sub-notes, so other projects/spaces don't come in the way of autocomplete and placing references), and workspaces that builds further on top of that
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it can be used standalone (local client/offline-only, like obsidian) but coupling it with a remote-server opens more interesting use-cases (synching, sharing notes with others by public URLs, one-user/multi-client editing) which gives the best of both worlds (local-first/online-first) and lets you access your personal notes on devices you don't necessarily own (which obsidian doesn't). The mobile app story isn't great (it's a PWA with limited offline capabilities at the moment), but isn't worse than the alternatives either (I can't really work and think long form on a handheld, no matter the editor experience, but perhaps that's just me).
You need to list out your requirements. What do you want to do? Where do you need your data? Do you care about open source? Self-hosting? Do you have an idea how your content will be organized? Will you ever need to tap into it as data? Etc
Have you tried trilium notes? Not as hyped and polished, but does extraordinarily well IME.
I didn't like obsidian's lacking in attributes structuring/typing and the fact that it cannot serve over a web UI (for wherever you cannot install the heavy client or just to share notes via URL), and found trilium notes to be doing that perfectly, and much much more. Highly recommend.
You can host (tens? of) thousands of XMPP sessions on a RPi at the back of your router or in a field hooked to a PV panel and sim card, and none of "the wealthy" knowing or caring about it, though. The difference with signal is that everyone can do that, and everyone doing it expands the network and makes it more resilient for the benefits of all.
How it works (to simplify) is them giving up on matrix clients ever becoming performant and well behaving on handheld devices (because of the absurd complexity of the protocol), and, instead of doing something about that, just decided to shift the client logic onto the server and castrating the clients (esp. for offline features). It's also good short-term business because it makes hosting Matrix even more cumbersome and expensive, giving a compelling reason for the type of midscale/corporate deployments previously on the fence about their self-hosting costs (due to poor design and scalability) to just pay Element for that (while probably contemplating an alternative future).
Matrix has the tendency to require all participants's servers to replicate all of the room state (who joined when, who said what when, whose avatar changed to what when, ...) practically forever, and is sucking a ton of bandwidth and CPU for the privilege. It's pretty bad, unfixable, and, if you ask me, over hyped.
Isn't that the essence of the issue, that those models are loaded with biases, that might or might not overlap with dominant ones in inscrutable ways, hence producing new levels of confusion and indirection?