That's the most irrelevant counterpoint that can be made here. "Communist" states were also totalitarian, i.e. undemocratic and that was the main reason for their ultimate failure. With democracy they'd be able to self-correct and likely switch to free[er] markets for example.
Consumer software and Internet are probably the least regulated areas of engineering today, that's the problem. Compare that to aerospace, construction, etc. Regulation though is not part of the free market capitalism paradigm, it's the prerogative of democracy.
> Regulation though is not part of the free market capitalism paradigm
Who told you that? People like to simplify views and say that people are "anti-regulation", but really people are anti-poorly-thought-out-regulation. What famous capitalist do you know that argued theft for example should be unregulated?
Corporations also have the means and the connections to lobby the state, which ensures the regulations are more to their liking. All helping entrench the corporation.
The effect is that small competitors are kept out. They can't afford legal departments and legions of developers to match the regulatory requirements.
For now, the Internet is relatively unregulated, which allows alternative media and platforms to emerge. This is a good thing, imagine having just YouTube and Facebook forever.
Consumer software and Internet are probably the least regulated areas of engineering today, that's the problem. Compare that to aerospace, construction, etc. Regulation though is not part of the free market capitalism paradigm, it's the prerogative of democracy.