There were viruses? Yes. 37 IE toolbars? Of course! But consider for a moment what we have today instead: Instead of the simple and (comparatively) mostly harmless viruses we now have ransomware. Instead of kazaa installing spyware we have the OS itself trying to phone home. Instead of having a virus to delete random files, you now have one of the Big 4 delete stuff from your device without asking you.
You say we had crapware we had to avoid back then, I see that today we install the crapware ourselves and consider it a treat. Back then when you bought a piece of software you owned it. You didn't have micro transactions and DLCs and all these "innovations" that drive "engagement". You didn't have to have data connection to sync something with bluetooth.
Sure there were also some crappy things, but things are not all that better today. We just got used to it.