But with more funding we would likely have silicon wafer chips figured out sooner

We already throw trillions (with a T) at the development of new silicon wafer chips. I don't think even a Pentagon's budget is going to make it move any faster.

By contrast, I do think increasing the base number of computer engineering graduates would do wonders for the domestic computer industry. Particularly, if those engineers had publicly available cash to incubate their own start-ups and noodle around in university graduate programs outside of the publish-or-perish model.

Forcing everyone to go hat-in-hand to guys like Musk, Theil, and Sam Altman every time they want a crack at the nut is what's holding us back far more than the volume of dollars we spend on those three gatekeepers.