Being underestimated is to China’a advantage.
Another thing is that, Americans don’t see the effect of soft power and cultural imperialism because it has often been American culture and technology being exported elsewhere. Tik Tok is an example of a successful export by China, and it likely won’t be the last.
That bit about Western governments can only access the data through search warrant is not strictly true. The US have gotten around their own laws by such things as, purchasing consumer data on the open market without a warrant, or making agreements with other government intelligence agencies to obtain domestic surveillance data through a foreign ally’s foreign surveillance program.