I think about my business all the time. I love my customers and spend a lot of time talking to them. I do this because I love my business. I just happened to have built a business with a high degree of automation. It's also successful, growing and I'm working on scaling it even more. So I suppose I'm a counter example?
If you are thinking about your business all the time, talk to customers on a regular basis and are actively working to scale what you have, you are materially participating in the operation of a business and by definition are not generating passive income. The fact that you've automated many business processes is a good thing, but that alone doesn't mean your income is passive in nature.
Incidentally, the folks promoting the fairy tale notion of "passive income" discussed here have hijacked the term, which is well-established in the contexts of finance, accounting and tax. Virtually none of the businesses these folks hold up as passive income success stories would be considered sources of passive income for accounting or tax purposes.
