Yes, the university taking 60-70% is almost highway robbery, but it is hard to completely disassociate from them. For one, the university can through economies of scale reduce the cost of setting up and running experimental facilities. Moreover, one usually finds motivated researchers in academic settings (I am anticipating dissent here, since that could be because of the funding flowing only through Universities). However talented and motivated researchers usually find other work situations which while to fully aligning to their erstwhile research interests, pay for a good life. Those who really have the passion that exceeds the mundane normalisation of drive ( also called life per some definition) usually seek refuge in the academic setting. So, yes if we can set up labs like the old Bell labs or find a way to replicate the tenure model of universities, taking funding away from the univ mechanism and giving it to individual unaffiliated researchers won't be practical. But even if that can be achieved, you have just replaced universities with a slightly different structure. Better option is to trim the fat and realign priorities at universities, which is also easier said than done. Cushy administrator jobs, student housing mansions with 5 star facilities, large stadium colosseum all should go.. But systemic reasons, societal perception, need to justify legacy admission all factor in here as strong headwinds.