Completely backwards. A server that is being paid for but not utilized is the best-case scenario for a hosting provider – revenue the same, lower costs (electrical/cooling/etc).
They want more users, not more utilization. Utilization is the effect of users not its cause. They are happy to have utilization increase as long as they keep getting more users. If the utilization increases while number of users remain constant because people (like OP) are using CPU intensive programs then that is not in their interest.
Not really. If I have a profitable app that only uses 10% CPU on average, and you have a profitable app that uses 90% CPU on average (because it is a more CPU intensive program), both of us are going to keep paying our hosting provider indefinitely, but you are less profitable to them.