x
Politics - August 26, 2025

Trump Calls for $500 Million Settlement from Harvard over Funding Dispute, Amid Ongoing Crackdown on Elite Universities

The President, Donald Trump, urged Harvard University to pay a substantial $500 million settlement to restore its federal funding, branding the prestigious institution as problematic.

“We demand a half-billion dollars from Harvard. Don’t engage in negotiations, Linda,” Trump addressed Education Secretary Linda McMahon during a Cabinet meeting yesterday. He further emphasized, “They’ve been troublesome. Don’t negotiate.”

Harvard remains one of the administration’s primary targets, and a resolution between the two parties has remained elusive to date. Harvard did not respond immediately to requests for comment from CNN.

The administration argues that it is taking action against perceived antisemitism on campus, particularly amidst the ongoing Israel-Hamas conflict. However, Harvard, which has challenged the administration directly in court, has become a focal point of a broader dispute over academic freedom, federal funding, and campus oversight. Within the White House, there’s a perception that targeting elite educational institutions is politically advantageous for the president.

Trump’s comments come as a federal judge prepares to rule soon in Harvard’s funding case against the administration. Harvard had requested an expedited final decision from US District Judge Allison Burroughs before September 3, which the university stated was the first date it would be required to submit paperwork to close out grant funding.

The administration has already reached agreements with Ivy League institutions Columbia University and Brown University. Columbia agreed to pay the U.S. Treasury $200 million over three years, along with an additional $21 million to settle Equal Employment Opportunity Commission investigations. An independent monitor will oversee the implementation of various provisions of the deal.

Brown, on the other hand, agreed to provide $50 million in grants over ten years to Rhode Island workforce development organizations, thereby avoiding direct payments to the federal government. The resolution agreement also stipulated that no provision “shall be construed as giving the United States authority to dictate Brown’s curriculum or the content of academic speech.”

The White House is currently negotiating with Cornell University and Northwestern University. Reports suggest that the administration is seeking a substantial $1 billion settlement from the University of California, Los Angeles, a demand that university leadership has labeled as untenable, potentially causing severe damage to the public institution.

During the same Tuesday Cabinet meeting, Commerce Secretary Howard Lutnick stated that the Trump administration was enjoying collaborative efforts across agencies to put pressure on higher education institutions. Lutnick referenced recent administrative actions aimed at addressing university ownership of patents for research funded by federal dollars.

“So we are going to strike a deal with them all, which is: if we provide them with funds, don’t you think it’s fair that the United States and taxpayers who fund it receive a share of that, right?” Lutnick posited.

The administration targeted Harvard’s patents last month, with Lutnick sending a letter to President Alan Garber requesting an “immediate comprehensive review” of the university’s federally funded research programs. The administration is also initiating a process under the Bayh-Dole Act, which means that if Harvard fails to disclose or patent its inventions, the federal government may take ownership of them or grant third-party licenses.

“We simply have a good time because Linda is taking on Harvard, and she asks, ‘What’s next?’ We send them a patent letter and hit them again. So we’re having fun together,” Lutnick concluded.

This story has been updated with additional developments.