Allow me to help TriPolar out on that.
Here’s some text from Integrated circuit - Wikipedia
SSI circuits were crucial to early aerospace projects, and vice-versa. Both the Minuteman missile and Apollo program needed lightweight digital computers for their inertial guidance systems; the Apollo guidance computer led and motivated the integrated-circuit technology,[11] while the Minuteman missile forced it into mass-production. The Minuteman missile program and various other Navy programs accounted for the total $4 million integrated circuit market in 1962, and by 1968, U.S. Government space and defense spending still accounted for 37% of the $312 million total production. The demand by the U.S. Government supported the nascent integrated circuit market until costs fell enough to allow firms to penetrate the industrial and eventually the consumer markets. The average price per integrated circuit dropped from $50.00 in 1962 to $2.33 in 1968.[12]
I don’t think this particular history of IC chip growth is absolutely key to his position because the IC itself is a very fundamental and broadly applicable type of technology. “Fundamental” like the “printing press”, or “electricity”.
Yes, the first major body of work to be printed was the Bible but does that mean that religion is what allowed books to be cheap today? The utility of the “printed word” is so fundamentally and universally necessary that if it wasn’t the Bible, a million other applications would have required the reproducible benefits of Gutenberg’s device.
Likewise, because the telegraph and lighting were the first customers of electricity, it doesn’t mean we should look in awe at Western Union and Edison light bulbs. There a millions of uses for electricity that would have attracted tons of geniuses to bring its costs down.
Last, the 4 million in the wiki article needs to be put in perspective of inflation adjusted numbers. That works out to be about $29 million in today’s dollars. That should lessen the impact of saying the “entire IC market.” Warren Buffet and many venture capitalists would laugh at such tiny numbers; they’ve got bigger deals to chase.
Because the inventors created it before the government bought high quantities of it. They had intellectual curiosity, and saw a need. They don’t wake up out of bed one day and say, “gee, I think I’m going to build stuff for the government!”
No. The entire world demanded the capabilities of the IC chip. The predictive applications of the chip were quite obvious because it was a miniaturization of transistors and the whole world already knew the power of hooking up a bunch of transistors. The government happened to be an early customer but that’s an accident of history and not a requirement for technological progress.