Agreed. But I would be hesitant to use the word capitalism. It is too broad.
There are mechanisms in capitalism to reward those who show the most empathy, but there are also components to reward anti-competitive behavior. I think it is necessary to distinguish them.
On the one hand, the company that delivers a product that best serves someone is going to be financially rewarded for having "empathy" for their customer. Basically for creating something that better suits their needs. That is a way capitalism increases empathy.
On the other hand, the kinds of problems you discuss I think are more associated with large corporations and industries that get so large that they are effectively woven into fabric of government.
Under democratic systems, politicians are more concerned with votes than empathy. In theory votes are supposed to be rewarded to only those who show empathy to their constituents, but that seems to be the case less and less.
In reality, the ability to effect change for a large corporate donor has more reward than empathy towards a politicians constituents and that is what is causing the lack of empathy.
I have seen very little outrage against Silicon Valley from its output of technology. When there is outrage I think it is more along the lines of lack of empathy between metropolitan areas and rural areas and essentially the differences between Left vs Right.