The Trump administration is moving forward with plans to restructure federal research funding by prioritizing support for individual scientists and the integration of artificial intelligence (AI) in scientific inquiry, according to a report and memo released Tuesday by the White House Office of Science and Technology Policy (OSTP). This initiative is part of broader efforts to enhance technological innovation in the United States amid ongoing competition with China.

The administration’s guidance will influence the allocation of the federal research and development budget, which totals approximately $200 billion annually, for the remainder of President Trump’s second term. The OSTP contends that empowering individual researchers directly will accelerate the adoption of AI technologies within scientific fields and foster faster discovery.

A significant shift in funding mechanisms is proposed, moving away from the traditional model that channels most federal research dollars through universities. Instead, the plan advocates for expanding programs such as fellowships and awards that finance individual scientists rather than institutions. This approach would reduce the role universities play in managing research grants, with funds being awarded directly to researchers even when they are affiliated with academic institutions.

Critics warn this policy change may undermine large universities that have historically depended on federal grants to support extensive research operations. While universities currently serve as the primary recipients of many federal funds, the new directives could diminish their central role in national research efforts.

The administration’s strategy aligns with a broader objective to enhance U.S. competitiveness in advanced technologies, especially amid concerns about China’s growing capabilities in AI and related scientific areas. By placing greater emphasis on individual researchers and AI-driven projects, the administration aims to accelerate innovation and maintain American leadership in critical technology sectors.