One thing is for sure, whether you like it or not countries that adopt policies that promote tech will outcompete and destroy other countries (metaphorically). You can’t do anything but watch technology take over. It doesn’t care about what you want or prefer.
Not necessarily, it's possible that a country that goes too fast with human augmentation will end up accidentally sterilizing the majority of its population, causing it to fall behind. Like the Asgard in Stargate, who accidentally sterilized themselves through excessive use of cloning.
This isn’t necessarily true.
The USA began its military actions in Afghanistan in 2001. It was technologically superior to the Afghan forces in every regard. It fought for more than 20 years. Afghanistan remained in the hands of the Taliban. In that war, the USA could spy on its enemy from space, could observe all electronic forms of communication, had superior armaments, and still lost. The Yemeni Houthis resorted to messengers on motorbikes to keep their communications secret from US technological surveillance.
Outcompeting too is not quite a given. Sometimes, “technological miracles” are dangerous. Thalidomide, asbestos, micro-plastics, glyphosate… to again use a modern example: the USA has been innovative on many fronts, generated much wealth, and has now a population among the sickest on Earth, and one which does not seem intent on producing new humans. This has led the government to import population in the attempt to keep socialist policies functioning. That policy then backfired due to nativist, near-term, economic concerns. That divide now threatens the unity of the country.
People are more diverse in thought and in belief than they are in biology, and this leads to all kinds of social and political dysfunction, all kinds of beautiful art, and all kinds of marvelous discussion. Humanity has seemingly proven that humans cannot be well-governed, and our societies cannot be centrally planned.