Ideally, the industry would relocate outside of the US, to a place where they can be competitive.

However, since this defense, they can’t, and will never be competitive.

So defense will languish.

I guess that’s all I have. I can’t see a way out of the situation if we accept your premise.

Defense margins aren’t going to beat social media margins, that too of something like meta.

Requirements are requirements. If you need a hammer, scalpels won’t help.