I don't think it's necessarily true that the government doesn't support startups. Programs like the R&D Tax Incentive (cash back on R&D spent, including local developers) and Export Market Development Grant (refund up to 50% of overseas marketing costs) are very useful to small businesses. That said, I don't think the government does a good job

Disclaimer: I work for PwC's Nifty Forms team, which helps SMBs in Australia with these programs.