FOREIGN MONEY DONATED TO UNIVERSITIES IS INTENDED TO INFLUENCE FUTURE AMERICAN LEADERS BY RESHAPING ACADEMIC PROGRAMS

What does foreign money buy at American universities?

Let’s be clear: This is not about xenophobia. Collaboration between nations is vital in an interconnected world. 

 

By Stephen M. Flatow

 

JNS

May 28, 2025

 

Texas A&M University is one of the institutions being investigated for failure to properly report foreign funding.

 

In lecture halls and classrooms from Boston to Berkeley, the ideals of liberal democracy—free speech, human rights, the rule of law—are supposed to be studied, debated and defended. Yet as these institutions champion justice and inclusion, many of them are quietly accepting billions in funding from some of the world’s most repressive regimes: Qatar, Saudi Arabia and the Chinese Communist Party.

This is not just a contradiction. It is a dangerous hypocrisy.

For Jewish communities and supporters of Israel, the consequences are not theoretical; we are already experiencing them. These regimes are not neutral philanthropists wishing to advance education. They have clear interests, including the spread of anti-Israel, and often antisemitic, narratives. When accepting money from them, American universities risk turning classrooms into tools of authoritarian soft power. We see the results in daily reports of masked rioters invading buildings and making the lives of Jewish students unbearable.

Where is the money coming from? Qatar has poured more than $1.5 billion into U.S. universities over the past decade. Saudi Arabia follows closely behind. At the same time, these nations bankroll Islamist movements, suppress dissent and broadcast anti-Israel content in their state media. All the while, their dollars are shaping academic programs, sponsoring Middle East studies departments, and even influencing hiring and curricula.

China, too, has embedded itself on campus through Confucius Institutes and joint research programs. The goal isn’t cultural exchange; it’s strategic influence. Campuses are being used to sanitize human-rights abuses, silence criticism of totalitarian regimes and promote illiberal ideologies to a generation of future American leaders.

The question isn’t whether universities are being influenced. It’s by how much.

Jewish students have already felt the ripple effects. The growing hostility toward Israel on campus isn’t just organic student activism; it’s often fostered by institutions shaped by foreign funding and ideologically biased scholarship. When Gulf regimes fund professors or programs with a track record of anti-Zionist rhetoric, it creates a hostile academic environment for Jewish students and anyone who supports Israel.

We must ask: Why are American institutions—trusted with educating future leaders—willing to compromise their values for foreign cash?

Would we accept funding from a government that denies the Holocaust? Or criminalizes Judaism? Or finances terror against Israelis? Because in some cases, we already are.

Let’s be clear: This is not about xenophobia. Collaboration between nations is vital in an interconnected world. But partnering with non-democratic regimes that actively suppress human rights, export intolerance and seek to undermine the very freedoms we cherish is another matter entirely.

The election of President Donald Trump has brought a new focus on the influence of foreign money on campuses. During the first Trump term, the U.S. Department of Education began investigating major universities, accusing them of failing to report billions in foreign gifts. Section 117 of the Higher Education Act of 1965 mandates that colleges and universities disclose foreign gifts and contracts exceeding $250,000 annually.

In April, Trump issued an “Executive Order on Transparency” order to push enforcement of foreign funding disclosures. The order directed the U.S. Department of Education to reverse prior administrative actions that allowed institutions to obscure details about foreign funding; require more specific disclosures regarding the sources and purposes of foreign funds; enhance public access to information about foreign contributions to colleges and universities; and work with other federal agencies to hold non-compliant institutions accountable through audits and investigations. 

Investigations are already bearing fruit. The Department of Education initiated inquiries into several universities, including Georgetown University, Texas A&M University, Cornell University and Rutgers University, for potential failures to properly report foreign funding.

The enforcement of Section 117 was returned to the Education’s Department’s Office of General Counsel to strengthen oversight.

In Congress, the Trump administration supported legislative measures to lower the reporting threshold for foreign gifts and contracts from $250,000 to $50,000. Additionally, the proposed legislation sought to require institutions to obtain waivers for contracts with such as China, Russia and North Korea.

These actions led to the disclosure of previously unreported foreign funds totaling approximately $6.5 billion. However, critics argued that the administration’s approach risked politicizing academic research and could deter international collaboration. Some universities expressed concerns about the potential impact on academic freedom and the open exchange of ideas.

Overall, the Trump administration’s initiatives marked a significant shift toward increased scrutiny of foreign influence in American higher education, emphasizing national security and transparency.

Transparency laws requiring universities to disclose foreign gifts are a good start. But the Jewish community, and all who care about democracy, must demand more, including:

• A full audit of foreign funding sources and their influence on curriculum.
• Clear policies banning donations from regimes that promote hate or repress freedom.
• Campus watchdogs—independent from administrative pressure—tasked with protecting academic integrity and student safety.

We cannot be naive. Authoritarian regimes understand that shaping minds is as powerful as shaping policy. By targeting our universities, they aim to shape the future of American thought—and weaken the alliance between the United States and Israel from within.

We still have time to wake up. But that window is closing.