Comment How do you define risk? (Score 3, Informative) 809
A company must turn a profit to succeed. A government just needs to accomplish a decent rate of return on their investment for the entire aggregated economy it governs. If Blah Corp takes on the risk of creating a new design it fails if Goo Corp copies it and gets to market first. If the U.S. government takes on the "risk" of, say, putting in more internet capacity, the "downside" is limited to overestimating demand. That's what everybody was saying Korea did in the nineties. Now that those fat pipes have helped Korea become a powerhouse in a dozen fields, nobody is saying that anymore.
The only real risk that government faces is if the level of corruption is so vast that nothing gets built. This is a real risk, as anybody who has watched the fiasco of the "digitizing" of the patent system call tell you about. But it is addressable and is a risk for corporations, too.
Look at what happened to the OLPC project. Their own devices have been meh at best. But it's pretty damn obvious that they inspired the netbook market, which has been a vast win for everybody, including their intended recipients. No OLPC, no Intel Classmate, no EEE PC, and so forth. And, from the looks of it, we'll be seeing the Pixel Qi tech coming out in another year or two, which will be yet another vast win for their intended result. Have they "turned a profit"? No. Have they achieved an excellent return on investment? Hell fucking yes.
In short, most of what makes a project "risky" to a profit-making entity is a null-value statement in a case like this.