The article says that the main conflict is part one of the OSS license, "The license shall not restrict any party from selling or giving away the software as a component… [and] shall not require a royalty or other fee for such sale." Which makes it very hard to sell OSS software (read the article for nuance).
Business cannot do this because the business needs to capture the value (ie. through sales) in order to fund creating the value (the software).
A government, however, would not have this restriction, because they don't need to sell it to capture the value the software creates.
This is, in fact, what government is best at doing and where business fails. Business is great when value capture is linked with value creation, think hamburger stand (the value is the burger, and the customer trades money for burger).
Goverment is optimized for when value creation is separate from value capture. Svilven mentions roads. The burger stand couldn't create or sell the burger without roads to freight in raw materials and customers, but only a fraction of the value of the road network is in the burger. Because the road also supplies value to a number of other enterprises.
So the best way to capture the value of the road is via a similarly diffusive system, i.e. a tax. Government.
And for certain fundamental types of software systems, i.e. web browsers, search engines, messaging services, perhaps a government can build them better than a company. Certainly the economic incentives align better.