I believe there's a simple way around it, but I' can't figure out the code structure. On most modules like this, Videos, Files etc., are in collapsible blocks, so I made Privacy Settings a collapsible block and collapsed it. It takes about one minute to make a simple change to the code.
Unfortunately, the Submit Button is included in the Privacy block, so when you collapse the block, the Submit button disappears as well. I tried putting the button outside the block, but I wasn't successful. Surely there must be an easy way of doing this, because I'm sure people will be a lot happier if they don't see all those options which Admin can pre-set.