According to Andrew Ng, proposed reductions in U.S. funding for basic research could significantly undermine the nation's leadership in AI and related technology sectors. Ng emphasizes that while open research benefits the global community, the primary advantage goes to the country where the research originates, driving domestic innovation and business growth. The cuts may slow progress in foundational AI models, hinder collaboration between academia and industry, and reduce opportunities for U.S.-based startups and enterprises to leverage cutting-edge developments. This policy shift could lead to a competitive disadvantage for the U.S. in the global AI market, impacting both economic growth and technological influence (source: Andrew Ng, Twitter, May 29, 2025).