These companies offer a service that facilitates adoption, but Bitcoin itself does not require the use of any of them. Dell is free to implement their own solution and GUI for their customers, and maybe eventually they will.

As for KYC procedures, YES YOU DID provide a lot of information to Paypal. To open the bank account that you need to use Paypal in the first place, you were required to provide lots of personal info and ID, and sign lots of forms.

On the other hand, to create a Bitcoin wallet you could just throw some dice (or download electrum, among other options), and no one can even ask you any questions. Send coins to that wallet, and you can buy at Dell or wherever you like, with ton more privacy than with Paypal.

The fallacy you just made is basically that you represented the KYC requirements to BUY coins from SOME companies as if it were a property of the whole Bitcoin system. You can absolutely use Coinbase-Dell to SPEND your Bitcoins, and it will have the same privacy as if it were a P2P transaction, no ID required. Source: I have bought stuff from vendors who accept bitcoins via Coinbase.