Looking forward to the internet historian video!
I don’t think that makes sense as an explanation for killing off 3PA/API access. 3PAs would increase user base, and so collection of data, by virtue of providing more channels by which users can contribute and improving the experience for those people would likely increase their engagement. The mod tools that make use of the API would also help with curating that data, which increases its value to an AI consumer.
Probably the IP of the device, not the IP resolved through DNS