My use case is pretty unusual, but I don't think that should matter. I'm looking to use my laptop to remote into my gaming desktop so I can run LLLMs from my couch. My ideal is free and open source, but I'd consider something proprietary or costing a one time fee. My only deal breakers are ongoing subscriptions and anything that sends data through their servers.
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It definitely doesn't have to because you can use it on completely private networks. And no I don't think it does in general. If Microsoft adds anything onto the service, beyond you just running mstsc.exe or clicking "Remote Desktop Connection", I'd start to worry. For instance, I would expect that "Windows ask for help" feature spies on you.