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Trump’s Ivy League deals are set to funnel cash to trade schools

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President Donald Trump’s campaign to squeeze billions of dollars out of Harvard University and other elite colleges looks set to create a windfall for US trade schools. 

Trump wants Harvard to build one of its own, as part of a deal to restore frozen federal funding, according to Commerce Secretary Howard Lutnick. “The Harvard Vocational School,” Lutnick said Thursday. “That’s what America needs.” 

It was the latest outing for an idea that’s gained steam in the past month or so. Multiple US colleges are trying to hammer out financial agreements with the White House to settle charges of political bias and regain access to vital research grants. Many are reluctant to pay outright fines. But investment in career and technical training — a stated priority for Trump, who wants to revive US manufacturing — looks like a compromise both sides can abide.

How it will work in practice remains unclear, even at the college that’s gone furthest down this road.

Brown University agreed to spend $50 million over ten years on workforce training in its home state of Rhode Island as part of a settlement. Brown is still figuring out a process for allocating grants, which will go to existing programs and organizations. The college will decide on recipients “in the coming weeks,” said Brian Clark, a spokesperson for Brown. 

As yet, there’s no indication the state’s Democrat-led government will play a role. Rhode Island’s Department of Labor and Training said there’s been no coordination with the college. “Brown will facilitate these grants independent of the Department,” said Edwine Paul, its chief public affairs officer.

‘Everybody in Rhode Island’

When that process gets underway, it’s likely to trigger a stampede of applicants.

Amy Grzybowski calls the Brown settlement “an amazing opportunity” for institutions like hers. She’s vice president of workforce development and community relations at the New England Institute of Technology, a nonprofit private college in East Greenwich, Rhode Island, which develops its curriculum with local employers. Programs for welding and shipfitting, for instance, were set up in partnership with General Dynamics Electric Boat, which makes Navy-class submarines in the state. 

“We have reached out to express interest” in the Brown grants, Grzybowski said. “Along with, I’m sure, everybody in Rhode Island.”

Harvard hasn’t gotten to this stage, and talks on a settlement have dragged in recent weeks. The college has signaled that it’s open to investing $500 million in workforce programs as part of a possible deal to restore more than $2 billion in research grants.

Lutnick’s suggestion for a new vocational school with Harvard’s name attached evokes the prospect of Ivy League-credentialed plumbers and electricians – which may not be as farfetched as it sounds.

Princeton University runs an apprenticeship program, partially funded by the Department of Energy, which offers training in more than a dozen fields including welding and cybersecurity. Harvard itself earlier this year announced a Careers in Construction program of training and apprenticeships in the Boston area. 

Alisha Hyslop, chief policy officer at the Association for Career and Technical Education, said she could envision Harvard’s graduate schools partnering with apprenticeship programs or offering short-term, skills-based credentials.

“There has been a rise in four-year universities embedding industry certifications in their programs, especially in technology, AI, and coding,” she said. “Harvard could easily get involved.” 

Workforce investments didn’t feature in the administration’s settlement with Columbia University, showing these aren’t the only pathways to an agreement. Still, with plenty more schools lined up to seek deals, the idea evidently has appeal for Trump.

The president in April signed an executive order to “refocus young Americans on career preparation.” He’s talked up vocational programs as a cultural and economic foil to elite universities. But he doesn’t seem keen to fund them out of federal coffers.

Trump has proposed eliminating the Labor Department’s $200 million annual budget for supporting adult education at community colleges, much of which funds vocational and skills-based programs. The department has also halted its Job Corps program, effectively shutting down 99 career training centers nationwide.

Instead, the president hasn’t been shy about wanting elite colleges to foot the bill. He wrote on Truth Social in May that he was considering slashing $3 billion in funding from Harvard and giving it to trade schools.

It’s “the Robin Hood approach,” according to Kathleen deLaski, founder of the vocationally focused Education Design Lab and a senior adviser at Harvard’s Project on Workforce. 

DeLaski said she and her team proposed a similar initiative over a decade ago, called “Share the Wealth,” which didn’t get much traction with Harvard and its peers. She doesn’t support the Trump administration’s broadside against Harvard. But “if they are going to extract a pound of flesh from wealthy colleges, I’d rather have it earmarked for less-resourced parts of higher ed than be a tax going back to the national coffers,” she said.

‘Extorting Money’

Trump isn’t the first president who’s sought to bolster technical education and fill gaps in the labor force. It was a priority for Joe Biden too. Supply chain disruptions in the pandemic, and trade tensions with China, have persuaded Washington that key industries should be brought back home – and they’ll need skilled workers.

Given the economic importance, some analysts say it’s the government that should be providing cash and making key decisions.

“I don’t think extorting money from Ivy League institutions is any way to finance workforce development,” said Braden Goetz, senior policy adviser at the New America think tank. “If it’s publicly funded, taxpayers and policymakers have a say in how it’s used. If we’re relying on Harvard or Brown to decide how to spend it, it may not be in the best interest of the people.”

Wherever the money ultimately comes from, a shift toward vocational funding and away from the traditional college model is what the US economy needs, according to Nick Moore — effectively the country’s top policymaker in the field, as deputy assistant secretary at the Education Department’s Office of Career, Technical and Adult Education.

Moore, who attended Harvard as an undergraduate, said he doesn’t view a potential redistribution of wealth from his alma mater to vocational programs as a punishment so much as a corrective. He hopes to see similar shifts across the sector.

“Our current workforce system is not sufficient to meet our economic trajectory,” he said. “And there is probably no industry that is more removed from market dynamics than higher education.”



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Coupang CEO resigns over historic South Korean data breach

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Coupang chief executive officer Park Dae-jun resigned over his failure to prevent South Korea’s largest-ever data breach, which set off a regulatory and political backlash against the country’s dominant online retailer.

The company said in a statement on Wednesday that Park had stepped down over his role in the breach. It appointed Harold Rogers, chief administrative officer for the retailer’s U.S.-based parent company Coupang Inc., as interim head.

Park becomes the highest-profile casualty of a crisis that’s prompted a government investigation and disrupted the lives of millions across Korea. Nearly two-thirds of people in the country were affected by the breach, which granted unauthorized access to their shipping addresses and phone numbers.

Police raided Coupang’s headquarters this week in search of evidence that could help them determine how the breach took place as well as the identity of the hacker, Yonhap News reported, citing officials.

Officials have said the breach was carried out over five months in which the company’s cybersecurity systems were bypassed. Last week President Lee Jae Myung said it was “truly astonishing” that Coupang had failed to detect unauthorized access of its systems for such a long time.

Park squared off with lawmakers this month during an hours-long grilling. Responding to questions about media reports that claimed the attack had been carried out by a former employee who had since returned to China, he said a Chinese national who left the company and had been a “developer working on the authentication system” was involved.

The company faces a potential fine of up to 1 trillion won ($681 million) over the incident, lawmakers said.

Coupang founder Bom Kim has been summoned to appear before a parliamentary hearing on Dec. 17, with lawmakers warning of consequences if the billionaire fails to show.

Park’s departure adds fresh uncertainty to Coupang’s leadership less than seven months after the company revamped its internal structure to make him sole CEO of its Korean operations. In his new role, Rogers will focus on addressing customer concerns and stabilizing the company, Coupang said.

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Databricks CEO Ali Ghodsi says company will be worth $1 trillion by doing these three things

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Ali Ghodsi, the CEO and cofounder of data intelligence company Databricks, is betting his privately held startup can be the latest addition to the trillion-dollar valuation club.

In August, Ghodsi told the Wall Street Journalthat he believed Databricks, which is reportedly in talks toraise funding at a $134 billion valuation, had “a shot to be a trillion-dollar company.” At Fortune’s Brainstorm AI conference in San Francisco on Tuesday, he explained how it would happen, laying out a “trifecta” of growth areas to ignite the company’s next leg of growth.

The first is entering the transactional database market, the traditional territory of large enterprise players like Oracle, which Ghodsi said has remained largely “the same for 40 years.” Earlier this year, Databricks launched a link-based offering called Lakehouse, which aims to combine the capabilities of traditional databases with modern data lake storage, in an attempt to capture some of this market.

The company is also seeing growth driven by the rise of AI-powered coding. “Over 80% of the databases that are being launched on Databricks are not being launched by humans, but by AI agents,” Ghodsi said. As developers use AI tools for “vibe coding”—rapidly building software with natural language commands—those applications automatically need databases, and Ghodsi they’re defaulting to Databricks’ platform.

“That’s just a huge growth factor for us. I think if we just did that, we could maybe get all the way to a trillion,” he said.

The second growth area is Agentbricks, Databricks’ platform for building AI agents that work with proprietary enterprise data.

“It’s a commodity now to have AI that has general knowledge,” Ghodsi said, but “it’s very elusive to get AI that really works and understands that proprietary data that’s inside enterprise.” He pointed to the Royal Bank of Canada, which built AI agents for equity research analysts, as an example. Ghodsi said these agents were able to automatically gather earnings calls and company information to assemble research reports, reducing “many days’ worth of work down to minutes.”

And finally, the third piece to Ghodsi’s puzzle involves building applications on top of this infrastructure, with developers using AI tools to quickly build applications that run on Lakehouse and which are then powered by AI agents. “To get the trifecta is also to have apps on top of this. Now you have apps that are vibe coded with the database, Lakehouse, and with agents,” Ghodsi said. “Those are three new vectors for us.”

Ghodsi did not provide a timeframe for attaining the trillion-dollar goal. Currently, only a handful of companies have achieved the milestone, all of them as publicly traded companies. In the tech industry, only big tech giants like Apple, Microsoft, Nvidia, Alphabet, Amazon, and Meta have managed to cross the trillion-dollar threshold.

To reach this level would require Databricks, which is widely expected to go public sometime in early 2026, to grow its valuation roughly sevenfold from its current reported level. Part of this journey will likely also include the expected IPO, Ghodsi said.

“There are huge advantages and pros and cons. That’s why we’re not super religious about it,” Ghodsi said when asked about a potential IPO. “We will go public at some point. But to us, it’s not a really big deal.”

Could the company IPO next year? Maybe, replied Ghodsi.



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New contract shows Palantir working on tech platform for another federal agency that works with ICE

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Palantir, the artificial intelligence and data analytics company, has quietly started working on a tech platform for a federal immigration agency that has referred dozens of individuals to U.S. Immigration and Customs Enforcement for potential enforcement since September.

The U.S. Citizenship and Immigration Services agency—which handles services including citizenship applications, family immigration, adoptions, and work permits for non-citizens—started the contract with Palantir at the end of October, and is paying the data analytics company to implement “Phase 0” of a “vetting of wedding-based schemes,” or “VOWS” platform, according to the federal contract, which was posted to the U.S. government website and reviewed by Fortune.

The contract is small—less than $100,000—and details of what exactly the new platform entails are thin. The contract itself offers few details, apart from the general description of the platform (“vetting of wedding-based schemes”) and an estimate that the completion of the contract would be Dec. 9.Palantir declined to comment on the contract or nature of the work, and USCIS did not respond to requests for comment for this story.

But the contract is notable, nonetheless, as it marks the beginning of a new relationship between USCIS and Palantir, which has had longstanding contracts with ICE, another agency of the Department of Homeland Security, since at least 2011. The description of the contract suggests that the “VOWS” platform may very well be focused on marriage fraud and related to USCIS’ recent stated effort to drill down on duplicity in applications for marriage and family-based petitions, employment authorizations, and parole-related requests.

USCIS has been outspoken about its recent collaboration with ICE. Over nine days in September, USCIS announced that it worked with ICE and the Federal Bureau of Investigation to conduct what it called “Operation Twin Shield” in the Minneapolis-St. Paul area, where immigration officials investigated potential cases of fraud in immigration benefit applications the agency had received. The agency reported that its officers referred 42 cases to ICE over the period. In a statement published to the USCIS website shortly after the operation, USCIS director Joseph Edlow said his agency was “declaring an all-out war on immigration fraud” and that it would “relentlessly pursue everyone involved in undermining the integrity of our immigration system and laws.” 

“Under President Trump, we will leave no stone unturned,” he said.

Earlier this year, USCIS rolled out updates to its policy requirements for marriage-based green cards, which have included more details of relationship evidence and stricter interview requirements.

While Palantir has always been a controversial company—and one that tends to lean into that reputation no less—the new contract with USCIS is likely to lead to more public scrutiny. Backlash over Palantir’s contracts with ICE have intensified this year amid the Trump Administration’s crackdown on immigration and aggressive tactics used by ICE to detain immigrants that have gone viral on social media. Not to mention, Palantir inked a $30 million contract with ICE earlier this year to pilot a system that will track individuals who have elected to self-deport and help ICE with targeting and enforcement prioritization. There has been pushback from current and former employees of the company alike over contracts the company has with ICE and Israel.

In a recent interview at the New York Times DealBook Summit, Karp was asked on stage about Palantir’s work with ICE and later what Karp thought, from a moral standpoint, about families getting separated by ICE. “Of course I don’t like that, right? No one likes that. No American. This is the fairest, least bigoted, most open-minded culture in the world,” Karp said. But he said he cared about two issues politically: immigration and “re-establishing the deterrent capacity of America without being a colonialist neocon view. On those two issues, this president has performed.”



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