They must be out of their minds, people won't accept this. Luckily I can still block ads on my desktop, I don't use the smartphone app.
The vast majority of people will accept it. I'm guessing that those who use ad blockers are a very slim percentage of IG/FB/Twitter users; they don't know and don't care. Ads have become ubiquitous with using the internet, no matter the service (social media, video streaming, reading news, etc.). Whenever I use someone else's computer, I'm saddened by what they have to put up with when browsing.
I still believe quite a lot of people might switch to another social media if you annoy them long enough. There is quite a lot of competition between Snapchat, Instagram and TikTok. And yes it's sad that many people don't use adblockers, for me the web is pretty much unusable without them.
Just one more reason i never have and never will bother with this app in no shape, form or fashion. Totally oblivious to me is InstaGram.