Open Package.swift or generate-xcodeproj

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I'm confused on something, basically the difference between open Package.swift and generating an Xcode project with swift package generate-xcodeproj.

Looking at Apple's own repo for swift-argument-parser, if I open Package.swift, I can use Xcode, but I don't have what I'm traditionally used to like seeing the targets in the General Tab. (this screenshot is with generating an xcodeproj):

enter image description here

Even though these are targets that are defined in Package.swift, you don't see them if you just use open Package.swift. Screenshot below:

enter image description here

If I want to create a FAT framework or an XCFramework for clients not using SPM, it seems like using an Xcode project with xcodebuild is still needed, right?

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