Similarly, he also didn't blindly support the idea of free markets solving every problem, nor ignored that they have their limitations, in the way that he is portrayed by the people selectively quoting him.
The issue comes starts we start regulating and trusting baker's like brewers and butcher's like doctors. If I am in the market for beer then the brewer is fine but if I'm in the market for bread I sure hope it has not fermented.
Similarly, if I am in need of ad subsidized internet then fine but I would not want additional public funding or regulatory capture to assist Facebook.
Adam Smith died before John Stuart Mill coined the concept, and a full century before electricity was invented.