I'm not saying that this a better outcome (power companies have their problems too). I was just commenting that this issue parallels the historical solution that was applied to utility companies.
The whole point of airplanes is that they require no physical infrastructure between point A and point B.
You can have competing power companies generating the power if the grid is owned by the state (or a regulated monopoly). Coincidentally, that is a good mental model for airlines because airports are often state-owned or if not are highly regulated.
So if they tend to compete themselves into oblivion, or need to turn into banks to subsidize their product, then it might make sense that they should be regulated monopolies.
Still you're probably right, if they can turn into banks and stay profitable, then maybe that's a better market outcome overall.
That's why the creditors let Spirit die. Their airport slots and gates are more valuable than the rest of the company combined.