In general, audio technology companies do not make very much money. Digidesign is almost close to bankruptcy, and laid off the bulk of its engineering staff. When Yamaha purchased Steinberg, it cost then a few tens of millions of dollars - for the number 2 company in the industry at that time. Most new audio technology companies fail within a few years. The recording industry does NOT pay significant cash to "well funded teams of software engineers" for this technology, which is one of the reasons why companies like Digi are having a hard time (along with their older cousins, the makers of large-format consoles, which are also no longer a line item in most budgets). The recording industry does not function like the video industry, and hasn't for more than a decade, if they ever did.
Probably the most successful audio software company right now is Ableton, and they've created an entirely new workflow for music creation, entirely over the opposition and disbelief of people with years of experience on more traditional DAWs. Another example might be Waves Audio, who have significantly diversified their products and focus from their traditional plugin-centric approach, again reflecting changes in what people will and will not spend money on (hint: broadcast and live PA work are now significantly more cash-flow endowed than recording).
What the linux audio software lacks is not funding from the recording industry (and note that Ardour is already the basis of products from Waves Audio and Harrison Consoles), but enough paying users, which in turn is a reflection of what happens when you develop for a tiny niche inside of an already niche software environment.