I mean like this: “Realized that most of these programs are not meant to help anyone, merely to control people and make them dependent. I was forced to reconsider everything I’d once believed. I developed a profound distrust of government regardless of the philosophy of the people in power. I remained a liberal on civil-rights issues, became a conservative on defense, and a semi-libertarian on all other matters.” - Dean Koontz. Am I wrong?
Closed social networks benefit a lot from the network effect, which makes them natural monopolies. This breaks one of the core mechanisms of capitalism, which is the free market that is supposed to drive innovation and make businesses strive to “perfection.”
From that point of view, any supporter of capitalism would probably not support any of the current commercial social networks, and instead feel more comfortable on a federated alternative.
That is the theory (read, propaganda or at least narrative) about capitalism. I don’t think it’s a misunderstanding that all the biggest companies in the last 20 years (in tech) have done exactly the opposite, building walled gardens and locking-in users. I would say they feel pretty confident because nobody cares about competition as an abstract value, this is just the tool that is used to give the feeling of freedom. Even today you have the “freedom” to compete with the big dogs. You just need a few hundreds of millions of investment, which depend on other people wanting to make money out of your product and therefore force you to adopt a certain business model. Good luck.
Incidentally this is also why I don’t understand those who see the fediverse as “competition” or hope for mass migrations (millions of users). The point of the fediverse for me is to create a space (in the cyberspace) which is outside the capitalist reach. The equivalent of a park or a square when you can exist without the need to consume or pay. Parks should not, and cannot, compete with malls.