Because in this scenario, taxpayer money has been tied into the "winners" already. So that company eager to take his place? Well, that's bad news because the taxpayer fund already picked his company to be the right answer. So we want to prop up Altman and discourage that upstart that might disrupt this theoretical fund.

Same reason why OpenAI was pushing for regulation that they get to shape. Easy for OpenAI to navigate, hard for newcomers to get going.