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David Die Dejean is passionate about studying tuna. Last year, he landed a dream job at National Oceanic and Atmospheric Administration in Miami to pursue his research. By January, he was settled in, had received a good review and loved working with his colleagues, he said. Then in mid-February he received an email to vacate the premises within 90 minutes. He and hundreds of others had been dismissed in job cuts targeting probationary workers as U.S. President Donald Trump’s new administration began slashing funding for universities and research bodies. Now Die Dejean is applying for positions in Europe. “I want to work wherever they allow me to do the research,” said the scientist, who studies fish stocks to ensure tuna is being fished sustainably. “I’m eagerly waiting for some of the things that are coming from the European Unionincreasing the opportunities for scientists like me to come back,” said Die Dejean, who was born in Spain but has spent most of his career in the U.S. and Australia. Trump’s administration says billions of dollars in cuts are needed to curb the federal deficit and bring the U.S. debt under control. His cutbacks on research come amid a broader clash that has seen Trump criticise universities as discriminatory for their diversity policies and denounce what he sees as a failure by some institutions to protect Jewish students from antisemitism. The threat to academics’ livelihoods at universities including Yale, Columbia and Johns Hopkins has given Europe’s political leaders hope they could reap an intellectual windfall. A letter, reviewed by Reuters, signed in March by 13 European countries including France, Germany and Spain, urged the EU Commission to move fast to attract academic talent. The European Research Council, an EU body that finances scientific work, told Reuters it would double the relocation budget for funding researchers moving to the EU to 2 million euros ($2.16 million) per applicant. That goes towards covering the cost of moving to a European institution, which may involve setting up a laboratory. In Germany, as part of coalition talks for a new government, conservatives and Social Democrats have drawn up plans to lure up to 1,000 researchers, according to negotiation documents from March seen by Reuters that allude to the upheaval in U.S. higher learning. Reuters spoke to 13 European universities and research institutes that reported seeing an increase in U.S-based employees considering crossing the Atlantic, as well as half a dozen U.S.-based academics pondering a move to Europe. “Regulatory uncertainty, funding cuts, immigration restrictions, and diminished international collaboration create a perfect storm for brain drain,” said Gray McDowell at U.S. digital consultancy firm Capgemini Invent. A White House official said the administration is analysing research grants and prioritizing funding for areas likely to deliver returns for taxpayers “or some sort of meaningful scientific advancement”. The NOAA cuts were designed to avoid compromising its ability to do its duties, the official added. European momentum Pulling in U.S. talent to Europe requires more than good will though. It requires money. For decades, Europe has lagged far behind the U.S. on investment in its seats of higher learning. Total expenditure on research and development in the EU among businesses, governments, universities and private non-profit organizations in 2023 was 381 billion euros ($411 billion), according to the latest figures by Eurostat – the statistical office of the European Union. That same year, total research and experimental development in the U.S. was estimated at $940 billion, according to the National Center for Science and Engineering Statistics, a federal agency that provides data on the performance of science and engineering in the U.S. And while the U.S’s richest university, Harvard, has an endowment worth $53.2 billion, that of Britain’s wealthiest, Oxford, is only 8.3 billion pounds ($10.74 billion). One academic and an expert in academia said, even with a concerted and substantial effort, Europe would likely need a long time to overturn that spending advantage. “I don’t foresee a rapid build-up of additional scientific capability that could match what the U.S. now hasfor several decades”, Michael Oppenheimer, a Professor of Geosciences and International Affairs at Princeton, told Reuters. The White House official said even with the cuts, the U.S. would still account for the most global research funding, adding: “Europe is not going to and cannot fill the void.” Dozens of scientists have taken to social media encouraging peers to stay in the U.S., while others acknowledge a number of drawbacks may deter them from moving. Michael Olesen, director of an infection prevention program for a healthcare system in Washington, D.C., said language barriers were one potential drawback, as were unfamiliar laws and employment practices. Salary is another. “My impression is that I would get paid a lot less as an anaesthesiologist in Europe,” said Holden K. Groves, an Assistant Professor of Anaesthesiology at Columbia University, which received funding from the National Institutes of Health (NIH). “It’s a huge ordeal to change.” “Huge opportunity” Still, Europe’s political leaders feel the stance of the Trump administration has put the wind in their sails. “The American government is currently using brute force against the universities in the USA, so that researchers from America are now contacting Europe,” Germany’s chancellor-in-waiting, Friedrich Merz, said last month. “This is a huge opportunity for us.” John Tuthill, a American neuroscience professor at the University of Washington in Seattle, is assessing his options. He cannot apply for new funding to plan beyond 2027 because grant applications have now been frozen. The lab of 17 people he runs gets about three-quarters of its funding from the NIH, where the Trump administration has earmarked major cuts. “Europe is the obvious one, because it is the other hub of biomedical research in the world,” said Tuthill, who is originally from Maine, adding he is weighing up a move with his wife and daughter. Aix Marseille University in France told Reuters it had received interest from 120 researchers at institutions in the U.S., including NASA and Stanford, for a 15-million euro ‘safe space for science’ programme launched on March 7. The initiative aims to attract U.S. staff from fields including health, LGBT+ medicine, epidemiology and climate change. “Our colleagues were frightenedIt was our duty to rise to the occasion,” university director Eric Berton said, noting 10 European universities have contacted him about launching similar programs. In the Netherlands, the government wants to establish a fund to attract top foreign scientists and bolster the EU’s ‘strategic autonomy’ aims, Education Minister Eppo Bruins said in a letter to parliament on 20 March. That marks a policy shift as the government had previously announced plans to cut half a billion euros in research and higher education. Eindhoven Tech University President Robert-Jan Smits told Reuters that bringing in U.S. scientists could boost Europe’s technological sovereigty in areas like semiconductors. Belgium’s sister universities Vrije Universiteit Brussel and Université Libre de Bruxelles have launched a scheme encouraging U.S.-based researchers to apply for 36 postdoctoral positions. And the Alexander von Humboldt Foundation, which promotes the exchange of top scientists to Germany, plans to increase its programs by about 20 percent. The Grantham Institute at Imperial College London, which specialises in climate change research, is creating at least two more research fellowship posts for early-career climate researchers from the U.S. and has already seen an clear uptick in applications, said its Director of Research, Joeri Rogelj. Sarah Weisberg, a fisheries biologist at the National Marine Fisheries Service, based in Woods Hole Massachusetts, said she was fired in February’s probationary cuts and has since been offered a job in Europe. “I had not ever considered taking [my career] to Europe,” she told Reuters. “Now, I kind of have no choice but to think that way.” ($1 = 0.7754 pounds) ($1 = 0.9264 euros) (This story has been refiled to correct the missing word “of” in paragraph 3.) Olivia Le Poidevin, Kate Abnett, and Gloria Dickie, Reuters
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Few statements communicate a sentiment more directly than the four words Jack Dorsey, the cofounder of Twitter, posted over the weekend on the platform he no longer controls: delete all IP law, was his simple message. delete all IP law— jack (@jack) April 11, 2025 That sentiment was backed by Elon Musk, the current owner of the platform Dorsey foundedsince renamed X. And given that big tech appears to be working hand in glove with the U.S. president, and Musk remains a close confidante of Donald Trump (despite a few tariff-shaped bumps in the road), their seemingly casual exchange deserves serious attention. A conversation that in another context, in another time, could have just been seen as casual conversation or irrelevant or interesting and part of the public debate, now inspires realistic regulation and fears about whether it might become policy in a week’s time, says Carissa Veliz, an AI ethicist at the University of Oxford. The fact that short, snappy tweets making seemingly outlandish claims about dismantling intellectual property rights need to be taken seriously, she adds, says a lot about how power has changed hands and power relations are working. Tech companies have already been lobbying hard for changes to copyright laws. In the U.K., the government recently consulted both the public and industry on proposed reforms to longstanding copyright protectionsreforms that would require copyright owners to opt out if they dont want their work to be legally used to train AI systems. Those in the creative industries have responded to this latest proposal with mockery and outrage. Delete IP law and you delete one of the main incentives to create at all, says Ed Newton-Rex, a former executive at Stability AI and now one of the most outspoken critics of big techs approach to copyright and AI. Newton-Rex calls the Musk-Dorsey exchange a ludicrous suggestion, from tech execs who are completely out of touch with working creators. It’s not surprising that two businessmen who would stand to gain a lot from the disappearance of IP law support that view, Veliz points out. But that doesnt make it a smart idea for the rest of usnor one supported by people outside the Musk-Dorsey tech bro axis. According to a YouGov survey, four in 10 Americans believe AI should be much more regulated than it currently is, with another three in 10 saying somewhat more regulation is needed. Nearly 80% of people worry that AI will diminish human creativity and drive. In the U.K., more than three in four people believe AI companies should pay royalties for using peoples work to train their modelsand public skepticism about AIs creative impact is widespread. Among the many worries that there are is that if we do away with IP law, we disincentivize creators from creating, says Veliz. That would make it more likely for AI to train on its own outputs, degrading the quality of its results over time. But beyond that, it risks dismantling more than a century of functioning copyright law just to support a business model thats already made plenty of money for its foundersrevealing where those same tech leaders think individual rights should stand.
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E-Commerce
The 2025 spring housing market is off to a slower than normal start for homebuilders. Thats what KB Homea giant homebuilder ranked No. 545 on the Fortune 1000told investors last month, echoing a similar sentiment shared by the even larger homebuilder Lennar earlier in the month. Demand at the start of this springs selling season was more muted than what we have seen historically, despite a healthy level of traffic in our communities,” wrote Jeffrey Mezger, CEO of KB Home, in their earnings report. “Demand at the start of this springs selling season was more muted than what we have seen historically, despite a healthy level of traffic in our communities. In mid-February, we took steps to reposition our communities to offer the most compelling value, and buyers responded favorably to these adjustments.” Below are six big takeaways from KB Homes earnings. 1. KB Home made bigger affordability adjustments in some Sun Belt markets heading into spring 2025 When and where needed, giant publicly-traded homebuilders are making affordability adjustments to maintain home sales pace. Sometimes that means bigger incentives like mortgage rate buydowns. And other times it means outright price cuts. Given market softness, KB Home had to do just that over the past quarter in some markets. We thoughtfully and selectively adjusted pricing as needed on a community by community basis to stimulate demand and achieve a higher selling pace,” KB Home Chief Operating Officer Rob McGibney told investors on the company’s recent earnings call. “While base price is the main motivator for our customers, we also provided mortgage related support to our buyers as needed.” McGibney added that: Consumers responded to these adjustments. We believe we have found the market. In Q1 2025, KB Home reported an average sales price of $500,700. For the full 2025 fiscal year, the homebuilder told investors it expected its average sales price to fall between $480,000 and $495,000. 2. KB Home is seeing the greatest weakness in Florida On KB Homes latest earnings call, COO McGibney pointed to Florida as the homebuilders softest-performing state in the first quarterprompting the company to cut net effective home prices to better align with local market conditions. In broad terms, Florida was our softest state in terms of sales demand in the first quarter, McGibney said. Because of that, we took the most pricing action there to find the market. He noted that most affordability adjustments or price cuts KB Home had to do range from $5,000 to $30,000 per home. However, it had to do more in Florida to find that market. Jacksonville, in particular, has been a focal point. McGibney said the metro is sitting at about seven months of housing supplyabove the historical normdriving the builder to make deeper price adjustments. One positive that we see in that [Jacksonville] market is it [inventory] is [now] getting absorbed. So youve got days on market actually down year-over-year despite that higher supply, but its likely because pricing has moved [down]. So were seeing that [Jacksonville] market react, McGibney said. McGibney added that the company has also seen weakness in its Orlando and Tampa communities. 3. Las Vegas is KB Homes strongest performer Our Las Vegas business is one of our largest and strongest performers, having consistently generated the highest gross margins and profitability in the company, CEO Mezger told investors. 4. Homebuilder profit margin compression continues During the pandemic housing boom, publicly-traded homebuilders achieved record profit margins as home prices soared and buyer demand ran red hot. Once the national housing demand boom fizzled out in the summer of 2022, many large homebuilders made affordability adjustments where and when needed to maintain their sales pace. That created margin compression. In recent quarters, margin compression has continued as homebuilders have turned again to affordability adjustments to move unsold completed inventory, which is on the rise. Excluding inventory related charges, our housing gross profit margin was 20.3%, above the midpoint of our guidance for Q1 2025,” Bill Hollinger, KB Home Chief Accounting Officer, told investors. “or the year earlier quarter, it was 21.6%. We are forecasting housing gross profit margin for the 2025 Q2 in the range of 19.1% to 19.5% and for the full year [of 2025] in the range of 19.2% to 20%, assuming no inventory related charges. Hollinger added that: Our gross margin outlook for both periods reflects lower selling prices than we anticipated in January, reduced operating leverage on lower delivery volume, and the challenging operating environment. 5. No impact from immigration policy changesyet So far, neither Lennar or KB Home have seen “immigration policy changes” impact their businesses. On the labor, Id say outside of the normal things that we would deal with, outside of any kind of regulatory change or ICE or immigration policy changes, its really just been the same,” KB Home COO McGibney told investors. “Weve seen nothing at all related to immigration. I mean, any kind of normal type labor shortage we might see on a day to day basis in a typical year may still be there, but nothing at all related to immigration policy [changes]. 6. KB Home is keeping an eye on tariffs Both Lennar and KB Home told investors in late March that they werent yet seeing impacts from tariffs. I havent seen [impact from tariffs] . . . That may be something thats coming down the road. We havent seen that yet. As to the lumber, we try to diversify on how we lock [in orders]. And well have ninety days, maybe 100 and 120 on the long-term end, COO McGibney told investors. Note: Since KB Home made these comments, additional tariffs have been announced. ResiClub will continue to monitor homebuilder earnings calls to see if their tune changes this quarter.
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