There's no contradiction. HP, Intel, etc. happened because they were built on a foundation of massive government investment in microprocessor tech during its early, super high risk phase, and then government procurement. Hyperloop isn't happening within the Silicon Valley model because it's core tech/infrastructure that does not have the government's interest, because our system is built around defense spending.

That's not to say the government couldn't fund it as a transportation infrastructure project, but that's not the Silicon Valley model, and the funding is much smaller and harder to come by than defense spending.

The problem isn't really just to spend "more" on R&D -- have you seen the defense budget? Hyperloop would be a blip. The problem is deeper.. it's that our system is not set up to funnel taxpayer funds into public services like this. IMHO for political reasons. Running it through the pretext of defense makes it harder for citizens to question how funds should be spent and who they should benefit.

We need political change to make sustainable public transport projects like this take priority. Just like we need it for education, social welfare, etc. It's easier to control people when you tell them the Russians/terrorists are coming so we have to take your money and fund defense.