This is not from a valid source and nothing to do with privacy aspect of the service.
and according to HN
The reddit thread title is misleading.
Apple didn’t “replace” the OPs files, the OP downloaded their music library to a new device, using Apple Music’s sync feature.
This can be easily disabled by turning off “sync”.
According to mozzilla,
On the privacy front, yes, Apple is generally better than other Big Tech companies (cough, Meta, cough cough, Amazon, cough Samsung), when it comes to privacy. They aren’t perfect, of course, but they do seem to do a better job at collecting less data because they aren’t trying to sell as many ads as Google and Facebook (yet, at least).
Apple says they can collect things like name, email address, age, location, device information, contact information, and more. The good news is, Apple says they treat all this information as personal information. So, things like device ID and the like are treated as securely as your name and age. That’s good. And Apple says they don’t share or sell your data, which is also good. They do say they can share your data with some third parties such as business partners, service providers, and others as you give your permission.
So, Apple is known for having a pretty strong security and privacy track record, at least compared to many of the other Big Tech companies.
It doesn’t offer the ux of a music player or the benefits of a streaming based solution.