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The foundations of America’s prosperity are being dismantled

Ever since World War II, the US has been the global leader in science and technology—and benefited immensely from it. Research fuels American innovation and the economy in turn. Scientists around the world want to study in the US and collaborate with American scientists to produce more of that research. These international collaborations play a critical role in American soft power and diplomacy. The products Americans can buy, the drugs they have access to, the diseases they’re at risk of catching—are all directly related to the strength of American research and its connections to the world’s scientists. That scientific leadership is now being dismantled, according to more than 10 federal workers who spoke to MIT Technology Review, as the Trump administration—spearheaded by Elon Musk’s Department of Government Efficiency (DOGE)—slashes personnel, programs, and agencies. Meanwhile, the president himself has gone after relationships with US allies.    These workers come from several agencies, including the Departments of State, Defense, and Commerce, the US Agency for International Development, and the National Science Foundation. All of them occupy scientific and technical roles, many of which the average American has never heard of but which are nevertheless critical, coordinating research, distributing funding, supporting policymaking, or advising diplomacy. They warn that dismantling the behind-the-scenes scientific research programs that backstop American life could lead to long-lasting, perhaps irreparable damage to everything from the quality of health care to the public’s access to next-generation consumer technologies. The US took nearly a century to craft its rich scientific ecosystem; if the unraveling that has taken place over the past month continues, Americans will feel the effects for decades to come.  Most of the federal workers spoke on condition of anonymity because they were not authorized to talk or for fear of being targeted. Many are completely stunned and terrified by the scope and totality of the actions. While every administration brings its changes, keeping the US a science and technology leader has never been a partisan issue. No one predicted the wholesale assault on these foundations of American prosperity. “If you believe that innovation is important to economic development, then throwing a wrench in one of the most sophisticated and productive innovation machines in world history is not a good idea,” says Deborah Seligsohn, an assistant professor of political science at Villanova University who worked for two decades in the State Department on science issues. “They’re setting us up for economic decline.” The biggest funder of innovation The US currently has the most top-quality research institutes in the world. This includes world-class universities like MIT (which publishes MIT Technology Review) and the University of California, Berkeley; national labs like Oak Ridge and Los Alamos; and federal research facilities run by agencies like the National Oceanic and Atmospheric Administration and the Department of Defense. Much of this network was developed by the federal government after World War II to bolster the US position as a global superpower.  Before the Trump administration’s wide-ranging actions, which now threaten to slash federal research funding, the government remained by far the largest supporter of scientific progress. Outside of its own labs and facilities, it funded more than 50% of research and development across higher education, according to data from the National Science Foundation. In 2023, that came to nearly $60 billion out of the $109 billion that universities spent on basic science and engineering.  The return on these investments is difficult to measure. It can often take years or decades for this kind of basic science research to have tangible effects on the lives of Americans and people globally, and on the US’s place in the world. But history is littered with examples of the transformative effect that this funding produces over time. The internet and GPS were first developed through research backed by the Department of Defense, as was the quantum dot technology behind high-resolution QLED television screens. Well before they were useful or commercially relevant, the development of neural networks that underpin nearly all modern AI systems was substantially supported by the National Science Foundation. The decades-long drug discovery process that led to Ozempic was incubated by the Department of Veterans Affairs and the National Institutes of Health. Microchips. Self-driving cars. MRIs. The flu shot. The list goes on and on.  In her 2013 book The Entrepreneurial State, Mariana Mazzucato, a leading economist studying innovation at University College London, found that every major technological transformation in the US, from electric cars to Google to the iPhone, can trace its roots back to basic science research once funded by the federal government. If the past offers any lesson, that means every major transformation in the future could be shortchanged with the destruction of that support. The Trump administration’s distaste for regulation will arguably be a boon in the short term for some parts of the tech industry, including crypto and AI. But the federal workers said the president’s and Musk’s undermining of basic science research will hurt American innovation in the long run. “Rather than investing in the future, you’re burning through scientific capital,” an employee at the State Department said. “You can build off the things you already know, but you’re not learning anything new. Twenty years later, you fall behind because you stopped making new discoveries.” A global currency The government doesn’t just give money, either. It supports American science in numerous other ways, and the US reaps the returns. The Department of State helps attract the best students from around the world to American universities. Amid stagnating growth in the number of homegrown STEM PhD graduates, recruiting foreign students remains one of the strongest pathways for the US to expand its pool of technical talent, especially in strategic areas like batteries and semiconductors. Many of those students stay for years, if not the rest of their lives; even if they leave the country, they’ve already spent some of their most productive years in the US and will retain a wealth of professional connections with whom they’ll collaborate, thereby continuing to contribute to US science. The State Department also establishes agreements between the US and other countries and helps broker partnerships between American and international universities. That helps scientists collaborate across borders on everything from global issues like climate change to research that requires equipment on opposite sides of the world, such as the measurement of gravitational waves. The international development work of USAID in global health, poverty reduction, and conflict alleviation—now virtually shut down in its entirety—was designed to build up goodwill toward the US globally; it improved regional stability for decades. In addition to its inherent benefits, this allowed American scientists to safely access diverse geographies and populations, as well as plant and animal species not found in the US. Such international interchange played just as critical a role as government funding in many crucial inventions. Several federal agencies, including the Centers for Disease Control and Prevention, the Environmental Protection Agency, and the National Oceanic and Atmospheric Administration, also help collect and aggregate critical data on disease, health trends, air quality, weather, and more from disparate sources that feed into the work of scientists across the country. The National Institutes of Health, for example, has since 2015 been running the Precision Medicine Initiative, the only effort of its kind to collect extensive and granular health data from over 1 million Americans who volunteer their medical records, genetic history, and even Fitbit data to help researchers understand health disparities and develop personalized and more effective treatments for disorders from heart and lung disease to cancer. The data set, which is too expensive for any one university to assemble and maintain, has already been used in hundreds of papers that will lay the foundation for the next generation of life-saving pharmaceuticals. Beyond fueling innovation, a well-supported science and technology ecosystem bolsters US national security and global influence. When people want to study at American universities, attend international conferences hosted on American soil, or move to the US to work or to found their own companies, the US stays the center of global innovation activity. This ensures that the country continues to get access to the best people and ideas, and gives it an outsize role in setting global scientific practices and priorities. US research norms, including academic freedom and a robust peer review system, become global research norms that lift the overall quality of science. International agencies like the World Health Organization take significant cues from American guidance. US scientific leadership has long been one of the country’s purest tools of soft power and diplomacy as well. Countries keen to learn from the American innovation ecosystem and to have access to American researchers and universities have been more prone to partner with the US and align with its strategic priorities. Just one example: Science diplomacy has long played an important role in maintaining the US’s strong relationship with the Netherlands, which is home to ASML, the only company in the world that can produce the extreme ultraviolet lithography machines needed to produce the most advanced semiconductors. These are critical for both AI development and national security. International science cooperation has also served as a stabilizing force in otherwise difficult relationships. During the Cold War, the US and USSR continued to collaborate on the International Space Station; during the recent heightened economic competition between the US and China, the countries have remained each other’s top scientific partners. “Actively working together to solve problems that we both care about helps maintain the connections and the context but also helps build respect,” Seligsohn says. The federal government itself is a significant beneficiary of the country’s convening power for technical expertise. Among other things, experts both inside and outside the government support its sound policymaking in science and technology. During the US Senate AI Insight Forums, co-organized by Senator Chuck Schumer through the fall of 2023, for example, the Senate heard from more than 150 experts, many of whom were born abroad and studying at American universities, working at or advising American companies, or living permanently in the US as naturalized American citizens. Federal scientists and technical experts at government agencies also work on wide-ranging goals critical to the US, including building resilience in the face of an increasingly erratic climate; researching strategic technologies such as next-generation battery technology to reduce the country’s reliance on minerals not found in the US; and monitoring global infectious diseases to prevent the next pandemic. “Every issue that the US faces, there are people that are trying to do research on it and there are partnerships that have to happen,” the State Department employee said. A system in jeopardy Now the breadth and velocity of the Trump administration’s actions has led to an unprecedented assault on every pillar upholding American scientific leadership. For starters, the purging of tens of thousands—and perhaps soon hundreds of thousands—of federal workers is removing scientists and technologists from the government and paralyzing the ability of critical agencies to function. Across multiple agencies, science and technology fellowship programs, designed to bring in talented early-career staff with advanced STEM degrees, have shuttered. Many other federal scientists were among the thousands who were terminated as probationary employees, a status they held because of the way scientific roles are often contractually structured. Some agencies that were supporting or conducting their own research, including the National Institutes of Health and the National Science Foundation, are no longer functionally operational. USAID has effectively shuttered, eliminating a bastion of US expertise, influence, and credibility overnight. “Diplomacy is built on relationships. If we’ve closed all these clinics and gotten rid of technical experts in our knowledge base inside the government, why would any foreign government have respect for the US in our ability to hold our word and in our ability to actually be knowledgeable?” a terminated USAID worker said. “I really hope America can save itself.” Now the Trump administration has sought to reverse some terminations after discovering that many were key to national security, including nuclear safety employees responsible for designing, building, and maintaining the country’s nuclear weapons arsenal. But many federal workers I spoke to can no longer imagine staying in the public sector. Some are considering going into industry. Others are wondering whether it will be better to move abroad. “It’s just such a waste of American talent,” said Fiona Coleman, a terminated federal scientist, her voice cracking with emotion as she described the long years of schooling and training she and her colleagues went through to serve the government. Many fear the US has also singlehandedly kneecapped its own ability to attract talent from abroad. Over the last 10 years, even as American universities have continued to lead the world, many universities in other countries have rapidly leveled up. That includes those in Canada, where liberal immigration policies and lower tuition fees have driven a 200% increase in international student enrollment over the last decade, according to Anna Esaki-Smith, cofounder of a higher-education research consultancy called Education Rethink and author of Make College Your Superpower. Germany has also seen an influx, thanks to a growing number of English-taught programs and strong connections between universities and German industry. Chinese students, who once represented the largest share of foreign students in the US, are increasingly staying at home or opting to study in places like Hong Kong, Singapore, and the UK. During the first Trump administration, many international students were already more reluctant to come to the US because of the president’s hostile rhetoric. With the return and rapid escalation of that rhetoric, Esaki-Smith is hearing from some universities that international students are declining their admissions offers. Add to that the other recent developments—the potential dramatic cuts in federal research funding, the deletion of scores of rich public data sets on health and the environment, the clampdown on academic freedom for research that appears related to diversity, equity, and inclusion and the fear that these restrictions could ultimately encompass other politically charged topics like climate change or vaccines—and many more international science and engineering students could decide to head elsewhere. “I’ve been hearing this increasingly from several postdocs and early-career professors, fearing the cuts in NIH or NSF grants, that they’re starting to look for funding or job opportunities in other countries,” Coleman told me. “And then we’re going to be training up the US’s competitors.” The attacks could similarly weaken the productivity of those who stay at American universities. While many of the Trump administration’s actions are now being halted and scrutinized by US judges, the chaos has weakened a critical prerequisite for tackling the toughest research problems: a long-term stable environment. With reports that the NSF is combing through research grants for words like “women,” “diverse,” and “institutional” to determine whether they violate President Trump’s executive order on DEIA programs, a chilling effect is also setting in among federally funded academics uncertain whether they’ll get caught in the dragnet. To scientists abroad, the situation in the US government has marked American institutions and researchers as potentially unreliable partners, several federal workers told me. If international researchers think collaborations with the US can end at any moment when funds are abruptly pulled or certain topics or keywords are suddenly blacklisted, many of them could steer clear and look to other countries. “I’m really concerned about the instability we’re showing,” another employee at the State Department said. “What’s the point in even engaging? Because science is a long-term initiative and process that outlasts administrations and political cycles.” Meanwhile, international scientists have far more options these days for high-caliber colleagues to collaborate with outside America. In recent years, for example, China has made a remarkable ascent to become a global peer in scientific discoveries. By some metrics, it has even surpassed the US; it started accounting for more of the top 1% of most-cited papers globally, often called the Nobel Prize tier, back in 2019 and has continued to improve the quality of the rest of its research.  Where Chinese universities can also entice international collaborators with substantial resources, the US is more limited in its ability to offer tangible funding, the State employee said. Until now, the US has maintained its advantage in part through the prestige of its institutions and its more open cultural norms, including stronger academic freedom. But several federal scientists warn that this advantage is dissipating.  “America is made up of so many different people contributing to it. There’s such a powerful global community that makes this country what it is, especially in science and technology and academia and research. We’re going to lose that; there’s not a chance in the world that we’re not going to lose that through stuff like this,” says Brigid Cakouros, a federal scientist who was also terminated from USAID. “I have no doubt that the international science community will ultimately be okay. It’ll just be a shame for the US to isolate themselves from it.”

Ever since World War II, the US has been the global leader in science and technology—and benefited immensely from it. Research fuels American innovation and the economy in turn. Scientists around the world want to study in the US and collaborate with American scientists to produce more of that research. These international collaborations play a critical role in American soft power and diplomacy. The products Americans can buy, the drugs they have access to, the diseases they’re at risk of catching—are all directly related to the strength of American research and its connections to the world’s scientists.

That scientific leadership is now being dismantled, according to more than 10 federal workers who spoke to MIT Technology Review, as the Trump administration—spearheaded by Elon Musk’s Department of Government Efficiency (DOGE)—slashes personnel, programs, and agencies. Meanwhile, the president himself has gone after relationships with US allies.   

These workers come from several agencies, including the Departments of State, Defense, and Commerce, the US Agency for International Development, and the National Science Foundation. All of them occupy scientific and technical roles, many of which the average American has never heard of but which are nevertheless critical, coordinating research, distributing funding, supporting policymaking, or advising diplomacy.

They warn that dismantling the behind-the-scenes scientific research programs that backstop American life could lead to long-lasting, perhaps irreparable damage to everything from the quality of health care to the public’s access to next-generation consumer technologies. The US took nearly a century to craft its rich scientific ecosystem; if the unraveling that has taken place over the past month continues, Americans will feel the effects for decades to come. 

Most of the federal workers spoke on condition of anonymity because they were not authorized to talk or for fear of being targeted. Many are completely stunned and terrified by the scope and totality of the actions. While every administration brings its changes, keeping the US a science and technology leader has never been a partisan issue. No one predicted the wholesale assault on these foundations of American prosperity.

“If you believe that innovation is important to economic development, then throwing a wrench in one of the most sophisticated and productive innovation machines in world history is not a good idea,” says Deborah Seligsohn, an assistant professor of political science at Villanova University who worked for two decades in the State Department on science issues. “They’re setting us up for economic decline.”

The biggest funder of innovation

The US currently has the most top-quality research institutes in the world. This includes world-class universities like MIT (which publishes MIT Technology Review) and the University of California, Berkeley; national labs like Oak Ridge and Los Alamos; and federal research facilities run by agencies like the National Oceanic and Atmospheric Administration and the Department of Defense. Much of this network was developed by the federal government after World War II to bolster the US position as a global superpower. 

Before the Trump administration’s wide-ranging actions, which now threaten to slash federal research funding, the government remained by far the largest supporter of scientific progress. Outside of its own labs and facilities, it funded more than 50% of research and development across higher education, according to data from the National Science Foundation. In 2023, that came to nearly $60 billion out of the $109 billion that universities spent on basic science and engineering. 

The return on these investments is difficult to measure. It can often take years or decades for this kind of basic science research to have tangible effects on the lives of Americans and people globally, and on the US’s place in the world. But history is littered with examples of the transformative effect that this funding produces over time. The internet and GPS were first developed through research backed by the Department of Defense, as was the quantum dot technology behind high-resolution QLED television screens. Well before they were useful or commercially relevant, the development of neural networks that underpin nearly all modern AI systems was substantially supported by the National Science Foundation. The decades-long drug discovery process that led to Ozempic was incubated by the Department of Veterans Affairs and the National Institutes of Health. Microchips. Self-driving cars. MRIs. The flu shot. The list goes on and on. 

In her 2013 book The Entrepreneurial State, Mariana Mazzucato, a leading economist studying innovation at University College London, found that every major technological transformation in the US, from electric cars to Google to the iPhone, can trace its roots back to basic science research once funded by the federal government. If the past offers any lesson, that means every major transformation in the future could be shortchanged with the destruction of that support.

The Trump administration’s distaste for regulation will arguably be a boon in the short term for some parts of the tech industry, including crypto and AI. But the federal workers said the president’s and Musk’s undermining of basic science research will hurt American innovation in the long run. “Rather than investing in the future, you’re burning through scientific capital,” an employee at the State Department said. “You can build off the things you already know, but you’re not learning anything new. Twenty years later, you fall behind because you stopped making new discoveries.”

A global currency

The government doesn’t just give money, either. It supports American science in numerous other ways, and the US reaps the returns. The Department of State helps attract the best students from around the world to American universities. Amid stagnating growth in the number of homegrown STEM PhD graduates, recruiting foreign students remains one of the strongest pathways for the US to expand its pool of technical talent, especially in strategic areas like batteries and semiconductors. Many of those students stay for years, if not the rest of their lives; even if they leave the country, they’ve already spent some of their most productive years in the US and will retain a wealth of professional connections with whom they’ll collaborate, thereby continuing to contribute to US science.

The State Department also establishes agreements between the US and other countries and helps broker partnerships between American and international universities. That helps scientists collaborate across borders on everything from global issues like climate change to research that requires equipment on opposite sides of the world, such as the measurement of gravitational waves.

The international development work of USAID in global health, poverty reduction, and conflict alleviation—now virtually shut down in its entirety—was designed to build up goodwill toward the US globally; it improved regional stability for decades. In addition to its inherent benefits, this allowed American scientists to safely access diverse geographies and populations, as well as plant and animal species not found in the US. Such international interchange played just as critical a role as government funding in many crucial inventions.

Several federal agencies, including the Centers for Disease Control and Prevention, the Environmental Protection Agency, and the National Oceanic and Atmospheric Administration, also help collect and aggregate critical data on disease, health trends, air quality, weather, and more from disparate sources that feed into the work of scientists across the country.

The National Institutes of Health, for example, has since 2015 been running the Precision Medicine Initiative, the only effort of its kind to collect extensive and granular health data from over 1 million Americans who volunteer their medical records, genetic history, and even Fitbit data to help researchers understand health disparities and develop personalized and more effective treatments for disorders from heart and lung disease to cancer. The data set, which is too expensive for any one university to assemble and maintain, has already been used in hundreds of papers that will lay the foundation for the next generation of life-saving pharmaceuticals.

Beyond fueling innovation, a well-supported science and technology ecosystem bolsters US national security and global influence. When people want to study at American universities, attend international conferences hosted on American soil, or move to the US to work or to found their own companies, the US stays the center of global innovation activity. This ensures that the country continues to get access to the best people and ideas, and gives it an outsize role in setting global scientific practices and priorities. US research norms, including academic freedom and a robust peer review system, become global research norms that lift the overall quality of science. International agencies like the World Health Organization take significant cues from American guidance.

US scientific leadership has long been one of the country’s purest tools of soft power and diplomacy as well. Countries keen to learn from the American innovation ecosystem and to have access to American researchers and universities have been more prone to partner with the US and align with its strategic priorities.

Just one example: Science diplomacy has long played an important role in maintaining the US’s strong relationship with the Netherlands, which is home to ASML, the only company in the world that can produce the extreme ultraviolet lithography machines needed to produce the most advanced semiconductors. These are critical for both AI development and national security.

International science cooperation has also served as a stabilizing force in otherwise difficult relationships. During the Cold War, the US and USSR continued to collaborate on the International Space Station; during the recent heightened economic competition between the US and China, the countries have remained each other’s top scientific partners. “Actively working together to solve problems that we both care about helps maintain the connections and the context but also helps build respect,” Seligsohn says.

The federal government itself is a significant beneficiary of the country’s convening power for technical expertise. Among other things, experts both inside and outside the government support its sound policymaking in science and technology. During the US Senate AI Insight Forums, co-organized by Senator Chuck Schumer through the fall of 2023, for example, the Senate heard from more than 150 experts, many of whom were born abroad and studying at American universities, working at or advising American companies, or living permanently in the US as naturalized American citizens.

Federal scientists and technical experts at government agencies also work on wide-ranging goals critical to the US, including building resilience in the face of an increasingly erratic climate; researching strategic technologies such as next-generation battery technology to reduce the country’s reliance on minerals not found in the US; and monitoring global infectious diseases to prevent the next pandemic.

“Every issue that the US faces, there are people that are trying to do research on it and there are partnerships that have to happen,” the State Department employee said.

A system in jeopardy

Now the breadth and velocity of the Trump administration’s actions has led to an unprecedented assault on every pillar upholding American scientific leadership.

For starters, the purging of tens of thousands—and perhaps soon hundreds of thousands—of federal workers is removing scientists and technologists from the government and paralyzing the ability of critical agencies to function. Across multiple agencies, science and technology fellowship programs, designed to bring in talented early-career staff with advanced STEM degrees, have shuttered. Many other federal scientists were among the thousands who were terminated as probationary employees, a status they held because of the way scientific roles are often contractually structured.

Some agencies that were supporting or conducting their own research, including the National Institutes of Health and the National Science Foundation, are no longer functionally operational. USAID has effectively shuttered, eliminating a bastion of US expertise, influence, and credibility overnight.

“Diplomacy is built on relationships. If we’ve closed all these clinics and gotten rid of technical experts in our knowledge base inside the government, why would any foreign government have respect for the US in our ability to hold our word and in our ability to actually be knowledgeable?” a terminated USAID worker said. “I really hope America can save itself.”

Now the Trump administration has sought to reverse some terminations after discovering that many were key to national security, including nuclear safety employees responsible for designing, building, and maintaining the country’s nuclear weapons arsenal. But many federal workers I spoke to can no longer imagine staying in the public sector. Some are considering going into industry. Others are wondering whether it will be better to move abroad.

“It’s just such a waste of American talent,” said Fiona Coleman, a terminated federal scientist, her voice cracking with emotion as she described the long years of schooling and training she and her colleagues went through to serve the government.

Many fear the US has also singlehandedly kneecapped its own ability to attract talent from abroad. Over the last 10 years, even as American universities have continued to lead the world, many universities in other countries have rapidly leveled up. That includes those in Canada, where liberal immigration policies and lower tuition fees have driven a 200% increase in international student enrollment over the last decade, according to Anna Esaki-Smith, cofounder of a higher-education research consultancy called Education Rethink and author of Make College Your Superpower.

Germany has also seen an influx, thanks to a growing number of English-taught programs and strong connections between universities and German industry. Chinese students, who once represented the largest share of foreign students in the US, are increasingly staying at home or opting to study in places like Hong Kong, Singapore, and the UK.

During the first Trump administration, many international students were already more reluctant to come to the US because of the president’s hostile rhetoric. With the return and rapid escalation of that rhetoric, Esaki-Smith is hearing from some universities that international students are declining their admissions offers.

Add to that the other recent developments—the potential dramatic cuts in federal research funding, the deletion of scores of rich public data sets on health and the environment, the clampdown on academic freedom for research that appears related to diversity, equity, and inclusion and the fear that these restrictions could ultimately encompass other politically charged topics like climate change or vaccines—and many more international science and engineering students could decide to head elsewhere.

“I’ve been hearing this increasingly from several postdocs and early-career professors, fearing the cuts in NIH or NSF grants, that they’re starting to look for funding or job opportunities in other countries,” Coleman told me. “And then we’re going to be training up the US’s competitors.”

The attacks could similarly weaken the productivity of those who stay at American universities. While many of the Trump administration’s actions are now being halted and scrutinized by US judges, the chaos has weakened a critical prerequisite for tackling the toughest research problems: a long-term stable environment. With reports that the NSF is combing through research grants for words like “women,” “diverse,” and “institutional” to determine whether they violate President Trump’s executive order on DEIA programs, a chilling effect is also setting in among federally funded academics uncertain whether they’ll get caught in the dragnet.

To scientists abroad, the situation in the US government has marked American institutions and researchers as potentially unreliable partners, several federal workers told me. If international researchers think collaborations with the US can end at any moment when funds are abruptly pulled or certain topics or keywords are suddenly blacklisted, many of them could steer clear and look to other countries. “I’m really concerned about the instability we’re showing,” another employee at the State Department said. “What’s the point in even engaging? Because science is a long-term initiative and process that outlasts administrations and political cycles.”

Meanwhile, international scientists have far more options these days for high-caliber colleagues to collaborate with outside America. In recent years, for example, China has made a remarkable ascent to become a global peer in scientific discoveries. By some metrics, it has even surpassed the US; it started accounting for more of the top 1% of most-cited papers globally, often called the Nobel Prize tier, back in 2019 and has continued to improve the quality of the rest of its research. 

Where Chinese universities can also entice international collaborators with substantial resources, the US is more limited in its ability to offer tangible funding, the State employee said. Until now, the US has maintained its advantage in part through the prestige of its institutions and its more open cultural norms, including stronger academic freedom. But several federal scientists warn that this advantage is dissipating. 

“America is made up of so many different people contributing to it. There’s such a powerful global community that makes this country what it is, especially in science and technology and academia and research. We’re going to lose that; there’s not a chance in the world that we’re not going to lose that through stuff like this,” says Brigid Cakouros, a federal scientist who was also terminated from USAID. “I have no doubt that the international science community will ultimately be okay. It’ll just be a shame for the US to isolate themselves from it.”

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Market Focus: Oversupply takes center stage, fundamentals catch up with the market

@import url(‘https://fonts.googleapis.com/css2?family=Inter:[email protected]&display=swap’); a { color: var(–color-primary-main); } .ebm-page__main h1, .ebm-page__main h2, .ebm-page__main h3, .ebm-page__main h4, .ebm-page__main h5, .ebm-page__main h6 { font-family: Inter; } body { line-height: 150%; letter-spacing: 0.025em; font-family: Inter; } button, .ebm-button-wrapper { font-family: Inter; } .label-style { text-transform: uppercase; color: var(–color-grey); font-weight: 600; font-size: 0.75rem; } .caption-style { font-size: 0.75rem; opacity: .6; } #onetrust-pc-sdk [id*=btn-handler], #onetrust-pc-sdk [class*=btn-handler] { background-color: #c19a06 !important; border-color: #c19a06 !important; } #onetrust-policy a, #onetrust-pc-sdk a, #ot-pc-content a { color: #c19a06 !important; } #onetrust-consent-sdk #onetrust-pc-sdk .ot-active-menu { border-color: #c19a06 !important; } #onetrust-consent-sdk #onetrust-accept-btn-handler, #onetrust-banner-sdk #onetrust-reject-all-handler, #onetrust-consent-sdk #onetrust-pc-btn-handler.cookie-setting-link { background-color: #c19a06 !important; border-color: #c19a06 !important; } #onetrust-consent-sdk .onetrust-pc-btn-handler { color: #c19a06 !important; border-color: #c19a06 !important; } <!–> In this Market Focus episode of the Oil & Gas Journal ReEnterprised podcast, Conglin Xu, managing editor, economics, takes a look at the growing oversupply in global crude markets and the shift now under way as fundamentals begin overtaking sentiment and geopolitics as the primary price driver. ]–>

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Aramco, ExxonMobil weigh new chemical complex for Samref refinery

Saudi Aramco and partner ExxonMobil Corp. subsidiary Mobil Yanbu Refining Co. Inc. are discussing the possibility of executing a major overhaul and expansion of 50-50 joint venture Saudi Aramco-Mobil Refinery Co. Ltd.’s (Samref) 400,000-b/d Samref refinery in Yanbu, Saudi Arabia. As part of a venture framework agreement (VFA) signed on Dec. 8, the partners will evaluate potential capital investments to expand and diversify the refinery’s existing production slate, including the addition of a grassroots petrochemical complex at the site, Aramco said in a statement. In addition to upgrading and diversifying Samref’s production to include lower-emission, high-quality distillates and high-performance chemicals, the project scope would involve works to improve the refinery’s energy efficiency and implement a sitewide integrated emissions reduction strategy, according to Aramco. With the VFA now signed, the companies said they will begin the project’s preliminary front-end engineering and design (pre-FEED) study, which will focus on opportunities to maximize the site’s operational advantage and enhance its competitiveness while meeting Saudi Arabia’s growing demand for high-quality petrochemical products. For Aramco, the proposed project—the design of which aims to increase the conversion of crude oil and other petroleum liquids into higher-value chemicals—further reinforces the company’s commitment to creating further value of its overall downstream business as well as its liquids-to-chemicals strategy, according to Mohammed Y. Al Qahtani, Aramco’s downstream president. “[The proposed expansion and integration project] will also position Samref as a key driver in the growth of [Saudi Arabia’s] petrochemical sector,” Al Qahtani added. Without disclosing a timeline as to when the partners expect to complete the pre-FEED study or reach final investment decision, Aramco confirmed existing plans for the potential project would remain subject to market conditions and necessary regulatory approvals. Samref previously completed modifications and renovations at the Yanbu refinery in 2014-15 related to a two-phased clean-fuels project

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Harbour Energy to add North Sea assets through Waldorf acquisition

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EIA: US oil inventories drop 1.8 million bbl

US commercial crude inventories for the week ended Dec. 5, excluding those in the Strategic Petroleum Reserve, dropped 1.8 million bbl from the previous week to 425.7 million bbl, which is about 4% below the average range for this time of year, according to the US Energy Information Administration’s (EIA) Weekly Petroleum Status Report. Total motor gasoline inventories gained 6.4 million bbl last week and are about 1% below the 5-year average range for this time of year. Finished gasoline inventories and blending components inventories rose. Distillate fuel inventories increased by 2.5 million bbl but are 7% below the 5-year average for this time of year. EIA reported that US crude refinery inputs last week averaged 16.9 million b/d, down 17,000 b/d from the previous week’s average. Refineries operated at 94.5% of their operable capacity. Gasoline production decreased to 9.6 million b/d, while distillate fuel production increased by 380,000 b/d, averaging 5.4 million b/d. US crude imports averaged 6.6 million b/d, up 609,000 b/d from the previous week’s average. Over the last 4 weeks, crude imports averaged 6.2 million b/d, down 7.7% from the same 4-week period last year. Total motor gasoline imports, including both finished gasoline and gasoline blending components, averaged 659,000 b/d. Distillate fuel imports averaged 181,000 b/d last week.

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Executive Roundtable: Converging Disciplines in the AI Buildout

At Data Center Frontier, we rely on industry leaders to help us understand the most urgent challenges facing digital infrastructure. And in the fourth quarter of 2025, the data center industry is adjusting to a new kind of complexity.  AI-scale infrastructure is redefining what “mission critical” means, from megawatt density and modular delivery to the chemistry of cooling fluids and the automation of energy systems. Every project has arguably in effect now become an ecosystem challenge, demanding that electrical, mechanical, construction, and environmental disciplines act as one.  For this quarter’s Executive Roundtable, DCF convened subject matter experts from Ecolab, EdgeConneX, Rehlko and Schneider Electric – leaders spanning the full chain of facilities design, deployment, and operation. Their insights illuminate how liquid cooling, energy management, and sustainable process design in data centers are now converging to set the pace for the AI era. Our distinguished executive panelists for this quarter include: Rob Lowe, Director RD&E – Global High Tech, Ecolab Phillip Marangella, Chief Marketing and Product Officer, EdgeConneX Ben Rapp, Manager, Strategic Project Development, Rehlko Joe Reele, Vice President, Datacenter Solution Architects, Schneider Electric Today: Engineering the New Normal – Liquid Cooling at Scale  Today’s kickoff article grapples with how, as liquid cooling technology transitions to default hyperscale design, the challenge is no longer if, but how to scale builds safely, repeatably, and globally.  Cold plates, immersion, dielectric fluids, and liquid-to-chip loops are converging into factory-integrated building blocks, yet variability in chemistry, serviceability, materials, commissioning practices, and long-term maintenance threatens to fragment adoption just as demand accelerates.  Success now hinges on shared standards and tighter collaboration across OEMs, builders, and process specialists worldwide. So how do developers coordinate across the ecosystem to make liquid cooling a safe, maintainable global default? What’s Ahead in the Roundtable Over the coming days, our panel

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DCF Trends Summit 2025: AI for Good – How Operators, Vendors and Cooling Specialists See the Next Phase of AI Data Centers

At the 2025 Data Center Frontier Trends Summit (Aug. 26-28) in Reston, Va., the conversation around AI and infrastructure moved well past the hype. In a panel sponsored by Schneider Electric—“AI for Good: Building for AI Workloads and Using AI for Smarter Data Centers”—three industry leaders explored what it really means to design, cool and operate the new class of AI “factories,” while also turning AI inward to run those facilities more intelligently. Moderated by Data Center Frontier Editor in Chief Matt Vincent, the session brought together: Steve Carlini, VP, Innovation and Data Center Energy Management Business, Schneider Electric Sudhir Kalra, Chief Data Center Operations Officer, Compass Datacenters Andrew Whitmore, VP of Sales, Motivair Together, they traced both sides of the “AI for Good” equation: building for AI workloads at densities that would have sounded impossible just a few years ago, and using AI itself to reduce risk, improve efficiency and minimize environmental impact. From Bubble Talk to “AI Factories” Carlini opened by acknowledging the volatility surrounding AI investments, citing recent headlines and even Sam Altman’s public use of the word “bubble” to describe the current phase of exuberance. “It’s moving at an incredible pace,” Carlini noted, pointing out that roughly half of all VC money this year has flowed into AI, with more already spent than in all of the previous year. Not every investor will win, he said, and some companies pouring in hundreds of billions may not recoup their capital. But for infrastructure, the signal is clear: the trajectory is up and to the right. GPU generations are cycling faster than ever. Densities are climbing from high double-digits per rack toward hundreds of kilowatts. The hyperscale “AI factories,” as NVIDIA calls them, are scaling to campus capacities measured in gigawatts. Carlini reminded the audience that in 2024,

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FinOps Foundation sharpens FOCUS to reduce cloud cost chaos

“The big change that’s really started to happen in late 2024 early 2025 is that the FinOps practice started to expand past the cloud,” Storment said. “A lot of organizations got really good at using FinOps to manage the value of cloud, and then their organizations went, ‘oh, hey, we’re living in this happily hybrid state now where we’ve got cloud, SaaS, data center. Can you also apply the FinOps practice to our SaaS? Or can you apply it to our Snowflake? Can you apply it to our data center?’” The FinOps Foundation’s community has grown to approximately 100,000 practitioners. The organization now includes major cloud vendors, hardware providers like Nvidia and AMD, data center operators and data cloud platforms like Snowflake and Databricks. Some 96 of the Fortune 100 now participate in FinOps Foundation programs. The practice itself has shifted in two directions. It has moved left into earlier architectural and design processes, becoming more proactive rather than reactive. It has also moved up organizationally, from director-level cloud management roles to SVP and COO positions managing converged technology portfolios spanning multiple infrastructure types. This expansion has driven the evolution of FOCUS beyond its original cloud billing focus. Enterprises are implementing FOCUS as an internal standard for chargeback reporting even when their providers don’t generate native FOCUS data. Some newer cloud providers, particularly those focused on AI infrastructure, are using the FOCUS specification to define their billing data structures from the ground up rather than retrofitting existing systems. The FOCUS 1.3 release reflects this maturation, addressing technical gaps that have emerged as organizations apply cost management practices across increasingly complex hybrid environments. FOCUS 1.3 exposes cost allocation logic for shared infrastructure The most significant technical enhancement in FOCUS 1.3 addresses a gap in how shared infrastructure costs are allocated and

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Aetherflux joins the race to launch orbital data centers by 2027

Enterprises will connect to and manage orbital workloads “the same way they manage cloud workloads today,” using optical links, the spokesperson added. The company’s approach is to “continuously launch new hardware and quickly integrate the latest architectures,” with older systems running lower-priority tasks to serve out the full useful lifetime of their high-end GPUs. The company declined to disclose pricing. Aetherflux plans to launch about 30 satellites at a time on SpaceX Falcon 9 rockets. Before the data center launch, the company will launch a power-beaming demonstration satellite in 2026 to test transmission of one kilowatt of energy from orbit to ground stations, using infrared lasers. Competition in the sector has intensified in recent months. In November, Starcloud launched its Starcloud-1 satellite carrying an Nvidia H100 GPU, which is 100 times more powerful than any previous GPU flown in space, according to the company, and demonstrated running Google’s Gemma AI model in orbit. In the same month, Google announced Project Suncatcher, with a 2027 demonstration mission planned. Analysts see limited near-term applications Despite the competitive activity, orbital data centers won’t replace terrestrial cloud regions for general hosting through 2030, said Ashish Banerjee, senior principal analyst at Gartner. Instead, they suit specific workloads, including meeting data sovereignty requirements for jurisdictionally complex scenarios, offering disaster recovery immune to terrestrial risks, and providing asynchronous high-performance computing, he said. “Orbital centers are ideal for high-compute, low-I/O batch jobs,” Banerjee said. “Think molecular folding simulations for pharma, massive Monte Carlo financial simulations, or training specific AI model weights. If the job takes 48 hours, the 500ms latency penalty of LEO is irrelevant.” One immediate application involves processing satellite-generated data in orbit, he said. Earth observation satellites using synthetic aperture radar generate roughly 10 gigabytes per second, but limited downlink bandwidth creates bottlenecks. Processing data in

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Here’s what Oracle’s soaring infrastructure spend could mean for enterprises

He said he had earlier told analysts in a separate call that margins for AI workloads in these data centers would be in the 30% to 40% range over the life of a customer contract. Kehring reassured that there would be demand for the data centers when they were completed, pointing to Oracle’s increasing remaining performance obligations, or services contracted but not yet delivered, up $68 billion on the previous quarter, saying that Oracle has been seeing unprecedented demand for AI workloads driven by the likes of Meta and Nvidia. Rising debt and margin risks raise flags for CIOs For analysts, though, the swelling debt load is hard to dismiss, even with Oracle’s attempts to de-risk its spend and squeeze more efficiency out of its buildouts. Gogia sees Oracle already under pressure, with the financial ecosystem around the company pricing the risk — one of the largest debts in corporate history, crossing $100 billion even before the capex spend this quarter — evident in the rising cost of insuring the debt and the shift in credit outlook. “The combination of heavy capex, negative free cash flow, increasing financing cost and long-dated revenue commitments forms a structural pressure that will invariably finds its way into the commercial posture of the vendor,” Gogia said, hinting at an “eventual” increase in pricing of the company’s offerings. He was equally unconvinced by Magouyrk’s assurances about the margin profile of AI workloads as he believes that AI infrastructure, particularly GPU-heavy clusters, delivers significantly lower margins in the early years because utilisation takes time to ramp.

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New Nvidia software gives data centers deeper visibility into GPU thermals and reliability

Addressing the challenge Modern AI accelerators now draw more than 700W per GPU, and multi-GPU nodes can reach 6kW, creating concentrated heat zones, rapid power swings, and a higher risk of interconnect degradation in dense racks, according to Manish Rawat, semiconductor analyst at TechInsights. Traditional cooling methods and static power planning increasingly struggle to keep pace with these loads. “Rich vendor telemetry covering real-time power draw, bandwidth behavior, interconnect health, and airflow patterns shifts operators from reactive monitoring to proactive design,” Rawat said. “It enables thermally aware workload placement, faster adoption of liquid or hybrid cooling, and smarter network layouts that reduce heat-dense traffic clusters.” Rawat added that the software’s fleet-level configuration insights can also help operators catch silent errors caused by mismatched firmware or driver versions. This can improve training reproducibility and strengthen overall fleet stability. “Real-time error and interconnect health data also significantly accelerates root-cause analysis, reducing MTTR and minimizing cluster fragmentation,” Rawat said. These operational pressures can shape budget decisions and infrastructure strategy at the enterprise level.

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Microsoft will invest $80B in AI data centers in fiscal 2025

And Microsoft isn’t the only one that is ramping up its investments into AI-enabled data centers. Rival cloud service providers are all investing in either upgrading or opening new data centers to capture a larger chunk of business from developers and users of large language models (LLMs).  In a report published in October 2024, Bloomberg Intelligence estimated that demand for generative AI would push Microsoft, AWS, Google, Oracle, Meta, and Apple would between them devote $200 billion to capex in 2025, up from $110 billion in 2023. Microsoft is one of the biggest spenders, followed closely by Google and AWS, Bloomberg Intelligence said. Its estimate of Microsoft’s capital spending on AI, at $62.4 billion for calendar 2025, is lower than Smith’s claim that the company will invest $80 billion in the fiscal year to June 30, 2025. Both figures, though, are way higher than Microsoft’s 2020 capital expenditure of “just” $17.6 billion. The majority of the increased spending is tied to cloud services and the expansion of AI infrastructure needed to provide compute capacity for OpenAI workloads. Separately, last October Amazon CEO Andy Jassy said his company planned total capex spend of $75 billion in 2024 and even more in 2025, with much of it going to AWS, its cloud computing division.

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John Deere unveils more autonomous farm machines to address skill labor shortage

Join our daily and weekly newsletters for the latest updates and exclusive content on industry-leading AI coverage. Learn More Self-driving tractors might be the path to self-driving cars. John Deere has revealed a new line of autonomous machines and tech across agriculture, construction and commercial landscaping. The Moline, Illinois-based John Deere has been in business for 187 years, yet it’s been a regular as a non-tech company showing off technology at the big tech trade show in Las Vegas and is back at CES 2025 with more autonomous tractors and other vehicles. This is not something we usually cover, but John Deere has a lot of data that is interesting in the big picture of tech. The message from the company is that there aren’t enough skilled farm laborers to do the work that its customers need. It’s been a challenge for most of the last two decades, said Jahmy Hindman, CTO at John Deere, in a briefing. Much of the tech will come this fall and after that. He noted that the average farmer in the U.S. is over 58 and works 12 to 18 hours a day to grow food for us. And he said the American Farm Bureau Federation estimates there are roughly 2.4 million farm jobs that need to be filled annually; and the agricultural work force continues to shrink. (This is my hint to the anti-immigration crowd). John Deere’s autonomous 9RX Tractor. Farmers can oversee it using an app. While each of these industries experiences their own set of challenges, a commonality across all is skilled labor availability. In construction, about 80% percent of contractors struggle to find skilled labor. And in commercial landscaping, 86% of landscaping business owners can’t find labor to fill open positions, he said. “They have to figure out how to do

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2025 playbook for enterprise AI success, from agents to evals

Join our daily and weekly newsletters for the latest updates and exclusive content on industry-leading AI coverage. Learn More 2025 is poised to be a pivotal year for enterprise AI. The past year has seen rapid innovation, and this year will see the same. This has made it more critical than ever to revisit your AI strategy to stay competitive and create value for your customers. From scaling AI agents to optimizing costs, here are the five critical areas enterprises should prioritize for their AI strategy this year. 1. Agents: the next generation of automation AI agents are no longer theoretical. In 2025, they’re indispensable tools for enterprises looking to streamline operations and enhance customer interactions. Unlike traditional software, agents powered by large language models (LLMs) can make nuanced decisions, navigate complex multi-step tasks, and integrate seamlessly with tools and APIs. At the start of 2024, agents were not ready for prime time, making frustrating mistakes like hallucinating URLs. They started getting better as frontier large language models themselves improved. “Let me put it this way,” said Sam Witteveen, cofounder of Red Dragon, a company that develops agents for companies, and that recently reviewed the 48 agents it built last year. “Interestingly, the ones that we built at the start of the year, a lot of those worked way better at the end of the year just because the models got better.” Witteveen shared this in the video podcast we filmed to discuss these five big trends in detail. Models are getting better and hallucinating less, and they’re also being trained to do agentic tasks. Another feature that the model providers are researching is a way to use the LLM as a judge, and as models get cheaper (something we’ll cover below), companies can use three or more models to

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OpenAI’s red teaming innovations define new essentials for security leaders in the AI era

Join our daily and weekly newsletters for the latest updates and exclusive content on industry-leading AI coverage. Learn More OpenAI has taken a more aggressive approach to red teaming than its AI competitors, demonstrating its security teams’ advanced capabilities in two areas: multi-step reinforcement and external red teaming. OpenAI recently released two papers that set a new competitive standard for improving the quality, reliability and safety of AI models in these two techniques and more. The first paper, “OpenAI’s Approach to External Red Teaming for AI Models and Systems,” reports that specialized teams outside the company have proven effective in uncovering vulnerabilities that might otherwise have made it into a released model because in-house testing techniques may have missed them. In the second paper, “Diverse and Effective Red Teaming with Auto-Generated Rewards and Multi-Step Reinforcement Learning,” OpenAI introduces an automated framework that relies on iterative reinforcement learning to generate a broad spectrum of novel, wide-ranging attacks. Going all-in on red teaming pays practical, competitive dividends It’s encouraging to see competitive intensity in red teaming growing among AI companies. When Anthropic released its AI red team guidelines in June of last year, it joined AI providers including Google, Microsoft, Nvidia, OpenAI, and even the U.S.’s National Institute of Standards and Technology (NIST), which all had released red teaming frameworks. Investing heavily in red teaming yields tangible benefits for security leaders in any organization. OpenAI’s paper on external red teaming provides a detailed analysis of how the company strives to create specialized external teams that include cybersecurity and subject matter experts. The goal is to see if knowledgeable external teams can defeat models’ security perimeters and find gaps in their security, biases and controls that prompt-based testing couldn’t find. What makes OpenAI’s recent papers noteworthy is how well they define using human-in-the-middle

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