Yes, the US Government is locked into many monopolies, especially for highly specialized items.
That doesn't make one more better at all though.
I disagree with his second point. We've seen for years now, that when companies act like monopolists, they become a successful monopoly. There is very little checks and balances here. Yeah, they risk antitrust actions, but those happen so incredibly rarely.
And in so far as competition, investment heavy industry like this needs billions in startup capital. Very few, if any, are going to get that.