People who use the word Utopia like this don’t seem to be that familiar with what Utopia was actually described to be like in the story the word came from.
I think “utopia” is actually a pretty apt description of what tech companies would like society to be like. An isolated island, with strict hierarchies if who control who, severe punishments for dissenters, a slavery based economy. Removal of the people who become a burden through willing euthanasia or other means, a lack of private property, with travel between sections restricted by internal passports. It seems control and a hard-working, sheepish population are what Utopia thrives on.
By all means, I think the Chinese state is the closest to the description of Utopia. Utopia is quite dystopic!