So far, the Linux Foundation, from what I have seen, has pretty darn good track record of keeping the projects under its umbrella open source, even going against corporate sponsors to do so. For a recent example, see the recent NATS tuffle. (And I should.recognize that Synadia, finally, did the right thing and backed down).

Is this an oblique reference to OSS Fuzz, or something else?

It seems weird to blame Google here, given that they didn’t manufacture the bugs: the bugs were already there, and they just found them. This is arguably the best thing for all parties: open source maintainers are still under no obligation to fix things, but downstreams can properly inform themselves about the risks they inherit by using any given project.

The alternative is a “don’t ask, don’t tell” system, which people generally agree doesn’t work well in other aspects of life.

They are contributing back, which is a good thing. Other companies just fork, fix, and forbid to contribute back.

No, not really, and I don't think you need to be snarky.

It may be an industry body, but it runs multiple community conferences and projects which support Open Source. A notable example in this case being the OpenSSF https://openssf.org/

The LF is not perfect, but I would expect them to come from an OSS and community angle on this.

I am pretty sure that these industries use the open source projects the Linux Foundation maintains. So it is pretty clear the Linux Foundation is indeed a user community group, too.