IMHO proprietary software is better than no software, but open source software is better than proprietary software in terms of societal benefit.
My favorite open source business model is the "Free Software Product" model. (Best articulated here -> https://sfosc.org/docs/book/business-models/#free-software-p...)
The core ideas are: 1. Free software products have trademarked, proprietary distributions, with commercial terms attached. 2. Free software products (may) have 100% open source distributions, but they must use different trademarks and naming conventions, and receive no direct customer support or interaction from the upstream. They are strictly downstream repackaging of the proprietary upstream distribution. This is true regardless of which source code repository is being committed to - the user relationship is defined in terms of the commercial product, not the free software project.
By either using this model on its own or combining it with OpenSaaS, I think it is entirely possible to run a profitable business, while providing public access to the code that benefits society.