Sticking to principles is "winning" for some people, not making more money or getting power. Zuckerberg would've folded long ago and did whatever the govt asked him to do in order to make more money.
Doesn‘t even have to be about money. Would be perfectly rational to comply to minimize uncertainty, public outcry, getting into the cross-hair of other countries‘ regulators and distractions from operating the core product/service. In short: for most people it wouldn‘t be worth the headache to stand up against a state like this.