He's not wrong on the first part, but tying them in nice strongly with the government will only increase the waste in spending.

An interesting thought though is that admissions and follow through like this can at least present citizens with stronger legal arguments against corpos that informed on their rights (assuming the already largely corrupt courts rule in accordance to the Constitution). In such case, it's important for us to watch carefully and call out the hypocrisy and illegitimacy of such government/corporate actions on those grounds.