because it rejects the basis of capitalism, which is private ownership of the means of production (which in this case would be software)
No, it doesn't. Companies developing software for internal use, including as part of a "means of production" (e.g. robot firmware at a factory), and keeping it secret from the public is completely compatible with free software. It's only when software is distributed to other people/entities that the free software movement insists that the recipient should also have freedom (including to run a business with it or any modified version of it).