Trump says Harvard to pay US$500m in settlement with administration

WASHINGTON: US President Donald Trump said on Tuesday (Sep 30) that his administration had reached a deal with Harvard University under which the school will pay US$500 million and operate trade schools, after months of tense negotiations.
"Linda is finishing up the final details," Trump told reporters in the Oval Office, referring to Education Secretary Linda McMahon. "And they'll be paying about US$500 million and they'll be operating trade schools. They're going to be teaching people how to do AI and lots of other things, engines, lots of things."
Harvard had no immediate comment.
FEDERAL FUNDS THREATENED
The Trump administration has threatened to withhold federal funding from schools, colleges and universities over issues ranging from pro-Palestinian protests against Israel's war in Gaza to climate initiatives and diversity, equity and inclusion practices.
Rights groups have raised concerns over free speech and academic independence. Trump has repeatedly accused universities, including Harvard, of tolerating antisemitism during pro-Palestinian demonstrations.
Protesters, including Jewish groups, argue the government wrongly conflates criticism of Israel with antisemitism and advocacy for Palestinian rights with extremism. The administration has not launched equivalent probes into Islamophobia.
Harvard task forces reported earlier this year that both Jewish and Muslim students faced abuse during the Gaza war.
PREVIOUS SETTLEMENTS
The administration has also reached agreements with Columbia and Brown universities.
Harvard President Alan Garber warned previously that federal actions could strip the school of nearly US$1 billion annually, forcing layoffs and hiring freezes.
In March, the Trump administration began reviewing US$9 billion in federal contracts and grants to Harvard, later threatening to freeze more than US$2.3 billion unless the school made changes.
The administration has faced legal setbacks in pursuing those measures.