By Nandita Bose, Brad Brooks and Nate Raymond
WASHINGTON (Reuters) -U.S. President Donald Trump said on Tuesday that his administration had reached a deal with Harvard University after months of negotiations and that the school will pay $500 million.
"Linda is finishing up the final details," Trump told reporters at an event in the Oval Office, referring to Education Secretary Linda McMahon. "And they'll be paying about $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 on Trump's remarks.
The Trump administration has threatened schools, universities and colleges with the withholding of federal funds over issues including pro-Palestinian protests against U.S. ally Israel's war in Gaza, climate initiatives, transgender policies, and diversity, equity and inclusion practices.
Rights advocates have raised free speech, privacy and academic freedom concerns over the Trump administration's probes into universities.
Trump has said that universities such as Harvard allowed displays of antisemitism during pro-Palestinian protests.
Protesters, including some Jewish groups, say the government wrongly equates criticism of Israel's assault on Gaza and its occupation of Palestinian territories with antisemitism, and advocacy for Palestinian rights with support for extremism. The government has not announced probes into Islamophobia.
Harvard task forces said in late April that the school's Jewish and Muslim students faced bigotry and abuse during the course of Israel's war in Gaza.
The Trump administration has reached settlements with Columbia and Brown universities, with both agreeing to certain government demands.
Harvard President Alan Garber has previously said that the various federal actions since Trump returned to office in January could strip the school of nearly $1 billion annually, forcing it to lay off staff and freeze hiring.
In March, the Trump administration said it was reviewing $9 billion in federal contracts and grants awarded to Harvard. The administration then sent a letter to Harvard in April demanding that changes be made or over $2.3 billion in federal funds would be frozen. The administration has faced legal setbacks in its efforts.
(Reporting by Nandita Bose in Washington, Brad Brooks in Colorado and Nate Raymond in Boston; Additional reporting by Jasper Ward and Kanishka Singh; Editing by Donna Bryson, Daniel Wallis and Edmund Klamann)