A large majority of basic scientific research is funded by tax dollars. One mustn't underestimate the importance of DOD, NIH, and NSF grants in ongoing technological innovation.

Update: s/majority/amount/

Hence why Silicon Valley started at Silicon Valley. It was (is?) a huge defense contractor outpost.

What's your actually point? Reading between the lines I'm seeing the following logic.

1) The free market develops and sell products. 2) The government buys the products that the free market has produced. 3) Therefore the free market isn't viable without government tax money? Therefore socialism? Silicon Valley wouldn't be as successful without govt spending money on things it needs? Help me out here.