The difference is private companies that accumulate too much waste and useless things can fail and be replaced. The exception is companies propped up by government regulation. The problem with modern big companies is that the exception has become the rule.
Regulation is so pervasive it's become a "what the hell is water" situation. People don't even recognize that the dysfunctional companies are protected from failure by the government. Seemingly beneficial regulations create barriers to entry that prevent dysfunctional companies from being replaced. IP law, even copyright (in its current, out-of-control practically perpetual form) is regulation that protects large incumbents in media and tech and other sectors from competition.
Regulation is so pervasive it's become a "what the hell is water" situation. People don't even recognize that the dysfunctional companies are protected from failure by the government. Seemingly beneficial regulations create barriers to entry that prevent dysfunctional companies from being replaced. IP law, even copyright (in its current, out-of-control practically perpetual form) is regulation that protects large incumbents in media and tech and other sectors from competition.