(A) says, "It does not furnish a way in which the dilemma concerning the establishment of the network can be resolved."
The problem with (A) is that it's not a flaw; rather, it's the whole point of the argument. There is no way that the dilemma can be resolved in the private sector, so the government needs to step in and foot the bill for the supercomputers. Because (A) is describing the point of the argument and not a flaw of the argument, we can get rid of this answer choice.
(E) says, "It overlooks the possibility that businesses or universities, or both, could cooperate to build the network."
(E) looks great, as it captures the exclusivity flaw occurring in the argument in the stimulus. Businesses and governments could easily cooperate to build these supercomputers and networks, so the government is not the only way to accomplish the job. (E) gets at this flaw, so it's the correct answer choice.
Hope this helps. Let us know if you have any other questions!