>The private sector doesn't advance science.
http://en.wikipedia.org/wiki/Peter_D._Mitchell
He and his former research colleague, Jennifer Moyle founded a charitable company, known as Glynn Research Ltd., to promote fundamental biological research at Glynn House and they embarked on a programme of research on chemiosmotic reactions and reaction systems. In 1978 he won the Nobel Prize in Chemistry "for his contribution to the understanding of biological energy transfer through the formulation of the chemiosmotic theory."
So, yes, the private sector does advance science, even basic science with no profit value. To claim otherwise is first-class stupid and also ignorance of history.
Josiah Gibbs, Irving Langmuir, and Robert Millikan were all American scientists who ran their research off of largely private (some for-profit as in the case of Langmuir, who did both basic and applied science under the auspices of GE; the others at predominantly non-profit educational institutes) These people are not insignificant - Gibbs rewrote the book on thermodynamics; Langmuir figured out that argon should fill lightbulbs -applied- but in basic science also invented the concept of plasma voltage, made observations describing ocean circulation, and conceived of molecular monolayers; Millikan discovered the charge of an electron). I am sure I am missing other American scientists who did their research with little or no help from public sources.
If you want another, more contemporary example, oh hey there's an entire research institute that doesn't take much (if any) in the way of federal funds: http://en.wikipedia.org/wiki/Janelia_Farm_Research_Campus
http://www.janelia.org/professional-opportunities/research-p...
"All laboratories are internally funded without extramural grants."