I believe people will, because its actually even better than a normal server if you have it open to public with no password. Also they could increase Airdrop chance. I already think Airdrops are RNG because Ive been on a private survival server before and I saw 3 Airdrops total and witnessed all of them and 3 were on at once, but yet there were no airdrops for awhile. So I believe this could be tweaked for private servers and I think its ok if it is since, people do pay money for them.
So this is the ratio. Regular server is set to = 4 spawn rate, private password protected server is set to = 3 spawn rate, private open PVE server is set to 3.5 spawn rate, private open PVP server = 5 spawn rate. This would encourage people to still purchase private servers and also receive an increased chance to loot. I would also suggest to have the option of setting group limits. Like a private server could be set at 0 people per group so everyone is for themselves. Yes I know there is a way around it by just using discord or whatever, but its still a thing.
So for a more detailed explanation, lets say a area of Umatilla army depot. The rear entrance hangar headed to the prison. Lets say it normally has 10 items, so in a regular server there are 10 items, in a private password server it has 8, in private open PVE it has 9, and in a private open PVP server it has 12. Within that ratio it doesn't have an adverse effect on the game, it has its balances. Because A) if it has a password you can still take ALL the loot, private open PVE its still PVE so you wont die to a player, and then private open PVP is where you can loot more and still have the excitement from trying to not get ambushed or perhaps you are doing the ambushing.