Engadget's story about George Bush claiming that government research developed the iPod is being linked to right, left and centre.
Given the context – a speech to a student audience at Tuskegee University – isn't it just possible that the man meant this as a joke? Reading the passage Engadget quoted in context is helpful:
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So here's the first thing that I intend to work with Congress on to make sure that we're on the leading edge of change and technology, and that is to increase federal support for vital, basic research. I don't know if you realize this, but because of Defense Department spending in the past, and because of the research that the Defense Department was doing to enhance communication, to improve military communications, the Internet came to be. In other words, the Defense Department said, we need to figure out how better to communicate. And, therefore, they spent some research dollars at institutions like Tuskegee. And out of that research came the Internet, which has helped change our society in many ways.
Here's another interesting example of where basic research can help change quality of life or provide practical applications for people. The government funded research in microdrive storage, electrochemistry and signal compression. They did so for one reason: It turned out that those were the key ingredients for the development of the Ipod. I tune into the Ipod occasionally, you know? (Laughter.) Basic research to meet one set of objectives can lead to interesting ideas for our society. It helps us remain competitive. So the government should double the commitment to the most basic — critical research programs in the physical sciences over the next 10 years. I look forward to Congress to doubling that commitment.
Secondly — and by the way, those centers of excellence I went to are funded by — some of them are funded by grants from the federal government on this type of research money. So, obviously, it helps your institution flourish, but, more importantly, it helps our country. It helps our country in two ways. There's no telling what's going to come out of this basic research. As a matter of fact, I saw nanotechnology applied to what could conceivably be the next airplane wing. Boeing is funding research into nanotechnology here at Tuskegee, which may end up yielding a lighter, more firm material which could become the basis for the new airplanes that you fly in. It's lightweight stuff, but it's really strong. It's right here on this campus that people are making research into this — (applause.)
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I hold no brief for the man's politics, but the argument Bush makes here is a perfectly sensible one: government funds basic research, which leads to better technology, which is in turn exploited by private industry in ways unanticipated by the original researchers. Bush didn't go into the contributions of the Fraunhofer Institute, Hitachi, Apple et al to what became the iPod, any more than he talked about the many companies involved in turning the ARPANET into the modern Internet in the preceding paragraph of his speech. It was a throwaway line in a speech, for goodness sake…
(Of course, there's a perfectly valid argument that much defence-related spending has more to do with pork-barrel politics and unacknowledged corporate welfare than it has any serious attempt to push back the frontiers of science for the benefit of all, but that's a discussion for another day.)