If the government allows them to become a virtual monopoly/ doupoly, then it's possible one could see the abuses as indirectly government sanctioned. At least in so far that the company has integrated automatically with the law enforcement flow and that integration has flaws that will lead to the same sort of undesirable ham-fisted authoritarian enforcement. It also allows the government bypass search restrictions by simply buying your data.
So perhaps fascism doesn't fit perfectly, but it's pretty damn close in my opinion (especially if you use definition 3 by Wordnik "Oppressive, dictatorial control").