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The original idea was simply for people to control their own data on decentralised networks, I don’t think anyone had a problem with that definition. The term seems to be mostly crypto related now though.
That is how the web has worked since its inception. The fact that people choose to primarily go through a limited number of effective monopolies doesn't mean the underlying structure is centralized.
But people aren't using the web the same way they were at inception. These big companies have built closed source, centralized systems on top of the decentralized infrastructure to serve new use-cases that weren't envisioned in the original standards. People like these new use-cases, so we need new standards, etc., to facilitate a re-decentralization of data and features in these new use-cases if we want the most used parts of the web to maintain their openness.
I don't think it's fair to lay the blame on the common user for the centralization of their data, when only the centralized systems have been providing the capabilities they want until very recently (where the open alternatives have arisen partly because of new standards like ActivityPub).
The DNS system is inherently centralised, so is IP address assignment. In both cases you have to got through a centralised agency or their intermediaries.