The balance of research and development funding in the US has undergone a significant shift. In 1957, the government funded nearly two-thirds of the nation's research and development, primarily for defense. However, by 2023, industry had become the primary funder, accounting for roughly three-quarters of US research and development.
This change has significant implications for the Pentagon, which must now adapt to innovation emerging from commercial labs rather than driving it.
The shift in funding is also reflected in the types of research being conducted, with defense research and development comprising about 85 percent of total funding in the Sputnik era, compared to roughly 49 percent today.




