(If they have a good legal department that understands intellectual property issues at all, and their product team knows they don't actually need to hack on the Linux kernel to make whatever they're building, then they will not likely be restricted against using Linux ... but the decision will necessarily restrict their choices when finding other components to use as part of the system they are building.)
Whether that is a good thing or a bad thing, I certainly feel is debatable and I'll reserve judgement. But it is provably wrong to say that nobody chooses not to use a GPL-licensed piece of software because of the license it is distributed under. Tons of people do.
GPL licensing will not stop me from using your software. It will stop some people. I do not say that I agree with those people and their decisions. I could not have built my career without GPL software, and it does not stop me.