Re: Windows 7 Telemetry was avoidable. But not for much longer.
They put the telemetry update in the rollups back in November:
November 8, 2016—KB3197868 (Monthly Rollup): "Improved support to specify proxy and enable upload of telemetry and download of settings in an authenticated proxy environment."
That installs the same diagtrack service and ancillary code as the spyware update(s) you mentioned. If you installed any of the rollups from the October preview of the November rollup forward, check services.msc to see if the diagtrack service is in there.
From November forward, I am only doing the security updates. I'm sure MS will try to sabotage that by "accidentally" introducing bugs with a security update, then fixing those bugs only in the full rollup... but MS is really, really determined to shaft all of their loyal customers, so it is what it is.