Certain kinds of capitalism, yes. There's not just one kind, and the kind we have now isn't the best kind. Perhaps we should try to discover a better one?
> What does privacy look like in non-capitalist places ... like ... China ...?
China is very capitalist now, if you weren't aware.
In any case, the main problem in those countries (at least with regards to privacy) was authoritarianism, not non-capitalism.
The public is simply ignorant about surveillance technology issues. Not that long ago we used to tolerate sawdust in our bread[1], and that's food, something humans should be pretty knowledgeable about. People would revolt if this happened now, whether they live under a capitalist or communist system. A free market might accelerate the transition, but education about the issue is still the underlying factor of change.
