Shrug. The DoD is notorious for trying to keep competition between its suppliers alive. But I don’t know enough about the airplane business to say they’re in a death spiral or not.
The fab business is a bit unique because of the sheer scaling of planning and capital involved.
I dunno why you brought up China/foreign interests though. Intel’s military fab designs would likely never get sold overseas, and neither would the military arm of Boeing. I wouldn’t really care about that either way…
This is just about keeping one of three leading edge processor fabs on the planet alive, and of course the gov is a bit worried about the other two in Taiwan and South Korea.