As an observation, your dystopia sounds like the grand vision of many politicians I've heard trumpeting privatization and philanthropy replacing social programs over the years. (However, I would mete the latter part of your AND (market governed) that VC is only a small part of the grander market, and their spending habits are (potentially, although I'd say likely) probably limited to their strata. Normal businesses are by nature not in the business of making these sorts of gambles at a scale to which it starts paying off.)

> steadily replacing democratically-governed public services

That's exactly what politicians and wealthy are calling for, very plainly and in the open. Not JUST VC's calling the shots, but the wealthy elite in general.

They own all the IP, we focus on making products they think will do best, we vote for their candidates...

Welcome to the real world.

I realize. There's a solution I can propose, too. It starts with "s" and ends with "eizing the means of production".