I'd argue the opposite. The revenue potential of selling to the entire US government far outweighs the revenue potential of the rest of the world combined as E

I'd argue the opposite. The revenue potential of selling to the entire US government far outweighs the revenue potential of the rest of the world combined as Europe, China, and Russian already have national champions and closed launch markets. Going with ITAR, and US sales, and US investors, is exactly why RocketLab became a US company. If you look at their flight manifest so far, it's certainly worked out for them! Indeed, you can argue that ITAR is the single most effective industrial policy in the US by comparing the health of the US rocket manufacturing base to the relative health of all other US manufacturing industries.