Except that competition and choice is at the heart of capitalism. Not local governments signing monopoly deals...
Using capital to muscle any advantage they can get away with is the heart of capitalism. The crony part of capitalism is what you get if you're not omnisciently watching everything that the owners and stewards of capital are doing (which is impossible).
The definition of crony capitalism is using government power to protect business interests. It is not impossible to watch the markets, because the invisible hand of free choice does it every day, and it punishes those who cannot compete. It's when governments try to get in the way of competition that things break down.
All capitalism is using government power to protect business interests. The very idea of capital only makes sense with a state enforcing it.