Category Archives: Business

Powell’s Precarious Position: What HBCU Real Estate Investors Must Prepare For

Posted on July 25, 2025 by hbcumoney | Leave a comment

“Real estate power does not wait on political peace—it plans around it.” — HBCU Money

In commercial real estate, calm markets are often a prerequisite for aggressive growth. When volatility creeps in—especially from policy uncertainty—wise investors do not panic, but they do reposition. As rumors swirl that Federal Reserve Chair Jerome Powell may be removed from office before the end of his term, the CRE market is already baking in disruption. For HBCU alumni who invest in real estate, this moment demands attention, strategy, and foresight.

Although Powell’s official term runs through May 2026, and he can technically serve until 2028, market insiders are moving as if his exit could happen sooner—possibly under a second Trump administration. On July 17, GlobeSt.com reported that commercial real estate markets are increasingly factoring in political risk, with deal structures, loan pricing, and capital flows tightening ahead of any actual policy change.

For HBCU alumni who have spent years assembling rental portfolios, developing mixed-use properties, or backing Opportunity Zone projects near campuses, this isn’t abstract economic theory. This is cash flow, cap rates, and leverage dynamics in real time.

The Federal Reserve controls interest rates, liquidity, and lending standards—the lifeblood of commercial real estate. But the Chair also shapes expectations. Even the perception of instability at the Fed causes lenders to pull back and investors to reprice assets.

Jerome Powell has been seen as a steady hand, even when unpopular. His cautious rate policy—especially amid post-pandemic inflation—kept CRE markets from overheating or crashing. But if he’s ousted or disempowered, markets may expect more aggressive rate cuts under political pressure, a weakening dollar complicating international investment and supply chain costs, and a loss of institutional independence introducing a political lens into every Fed decision.

For HBCU alumni real estate investors, it means more volatile borrowing costs, reduced predictability in returns, and a need to re-evaluate how aggressively to pursue expansion or refinance.

Lenders are tightening up—and they are doing so before Powell is removed. That should concern anyone whose real estate model is sensitive to capital cost.

Bridge and construction loans are becoming harder to secure without pristine credit and higher equity injections. Cash-out refinances—especially for small portfolios—are being capped or delayed altogether. Development deals in low-income communities (where many HBCU graduates invest as a mission) are being scrutinized harder or shelved entirely.

As one investment banker told GlobeSt, “We’re seeing deals priced as if Powell’s out in six months, and we’re living in a very different rate environment.” It’s not a prediction—it’s a hedge. And HBCU alumni need to do the same.

If you’re invested in—or considering entering—any of the following CRE asset classes, Powell’s fate may shape your returns:

CRE Sector	Risk From Fed Instability
Multifamily	Rising rates hurt acquisitions and refinancing; rent growth may not keep up with cost of capital
Retail	Already under pressure from e-commerce; volatile rates shrink tenant pool and landlord leverage
Hospitality	Heavily exposed to economic cycles; refinancing becomes challenging if Fed turmoil hits
Industrial/Logistics	Generally stable, but price compression expected if Fed credibility drops
Development Projects	Most vulnerable—cost of capital, input inflation, and credit availability all in flux

HBCU alumni often favor multifamily and mixed-use in urban corridors. That makes preparation even more critical.

Let’s be clear: instability in the Fed disproportionately hurts Black real estate investors.

Less institutional capital backing Black developers means higher reliance on bank debt. Lower net worth and liquidity reserves can make it harder to endure tightened credit cycles. Projects in historically Black neighborhoods—often underinvested already—face greater scrutiny from conservative lenders during uncertain times. And Black investors are more likely to reinvest locally, meaning pullbacks hit community wealth and revitalization efforts harder.

If you’re financing student housing near Howard, renovating a historic property near Southern, or redeveloping land near Fort Valley State, you may suddenly find banks “reassessing” your application—not because of your deal, but because of Washington.

HBCU alumni have a legacy of building through adversity. This moment demands no less. Key investor moves right now include:

Renegotiate your debt terms while rates are still predictable. If your loans mature in 2026 or 2027, the window to lock in current rates or secure extensions is closing. Powell’s tenure—and potential replacement—will shape forward rate curves. Beat the volatility while you still can.

Shift to fixed-rate debt. Adjustable-rate debt was cheap two years ago. Now it’s a ticking time bomb. Consider refinancing into fixed-rate debt, even at a slight premium, to gain stability and prevent future cash flow disruptions.

Expand your lender relationships. Do not depend on one or two institutions. Build ties with Black-owned banks, CDFIs, and credit unions aligned with HBCU values. These institutions may have more mission-aligned flexibility if traditional banks tighten up.

Build a liquidity cushion. Discipline now prevents desperation later. Liquidity is the real hedge during economic uncertainty—especially if tenants default, contractors raise costs, or refinance windows close.

Delay discretionary projects. This is the time to tighten pro formas, not push for maximum leverage. If a deal still pencils at 9% debt, proceed. If it only works at 6%, wait.

Pool capital. Use alumni associations and real estate clubs to form investment syndicates. One investor may get denied a $5M deal. Five alumni together might get approved for $25M. Leverage unity, scale, and relationships.

Crisis also presents acquisition opportunities. There will be distressed sellers needing to offload assets quickly, developers unable to complete projects, and landlords who can’t refinance expiring loans. HBCU alumni, especially those with capital or credit, should keep an eye out. Joint ventures among alumni can create scale and deploy capital when others retreat. Use this time to buy smart, not fast.

Beyond Powell himself, it’s the Fed’s credibility that gives investors confidence to commit capital to 10–30 year projects. If a new Chair appears beholden to political pressure, markets may price in new risks to long-term bonds, accelerate inflation fears, and depress asset values. That would slow not just your next project—but the next generation’s.

That is why HBCU alumni must take this seriously, not just as investors—but as stewards of intergenerational wealth.

HBCU institutions also have a role to play. They can create alumni investment syndicates that provide deal flow and capital. They can offer discounted land or property near campus to alumni developers. They can develop relationships with mission-driven lenders and introduce alumni projects for financing. And they can host economic briefings and real estate strategy sessions to keep their alumni sharp and agile in rapidly changing markets.

Colleges like Tuskegee, Texas Southern, and FAMU have alumni who are reshaping skylines. These institutions must recognize this as an extension of their impact—and protect it.

The Federal Reserve Chair is not a figurehead. Powell’s potential removal would represent a seismic shift in economic planning—especially for real estate. For HBCU alumni, many of whom have built their portfolios in the shadows of systemic exclusion, the message is clear: this is not a time to panic—but it is time to prepare.

Build alliances, lock in rates, stockpile liquidity, and be ready. The future of our neighborhoods, our campuses, and our financial independence will be shaped by how we respond to this moment.

And if the rest of the market goes quiet, remember: Black investors have never needed perfect conditions to build power—we’ve just needed a plan and each other.

Disclaimer: This article was assisted by ChatGPT.

Healthier Workers, Less Insurance Costs: Why Companies Should Bring Physical Education To The Workplace

Posted on July 22, 2025 by hbcumoney | Leave a comment

“Health is not valued till sickness comes.” – Thomas Fuller

For most in the United States during the first 18 years of their life once they enter the K-12 system they are required to participate in physical activity for one hour a day. Once they leave the K-12 system, unless they voluntarily are an active person we see a precipitous decline in physical activity overall with each passing year and decade declining further and further. As life events happen like marriage, children, and others that decline is likely to become even more dramatic. This for many, while sitting at an office or working from home 8-10 hours a day.

How physical education in the workplace is becoming a strategic investment in health, morale, and the bottom line

In the early 20th century, a worker might find a gymnasium nestled inside a factory, next to the cafeteria or above the warehouse floor. Industrial giants like Ford Motor Company and Pullman believed that a healthy worker was a productive one. Then came the white-collar revolution, and fitness was outsourced to the private sphere. But as chronic disease rates climb and employer healthcare costs spiral upward, companies are again looking inward—this time to yoga mats and standing desks.

The reintroduction of physical education (PE) into the workplace is no mere wellness fad. In the age of burnout, sedentary jobs, and hypercompetitive talent wars, physical activity has evolved into a strategic imperative. Companies that once prized proximity to Ivy League MBAs now seek proximity to hiking trails, bike lanes, and boutique gyms. Remote work may have altered where we work, but it has not changed the fact that workers, like machines, require routine maintenance.

A new breed of employer, from start-ups to Fortune 500 firms, is making a case for fitness as a lever of cost control, employee retention, and morale. The evidence, increasingly, supports them.

The Quiet Crisis of Sedentarism

The modern office is a crucible of inactivity. According to the World Health Organization, physical inactivity is the fourth leading risk factor for global mortality, responsible for 3.2 million deaths annually. American workers, particularly in tech, finance, and administrative roles, sit for an average of 10 to 13 hours per day. A study by the CDC found that sedentary office jobs contribute significantly to obesity, cardiovascular disease, and Type 2 diabetes—all conditions with direct cost implications for employers.

Workplace-related healthcare costs in the United States are a quiet crisis. The U.S. spends more per employee on healthcare than any other developed country, with employer-sponsored health insurance accounting for over $1.3 trillion in annual expenditures. For companies that self-insure, the connection between employee health and the bottom line is brutally direct.

The economic rationale for workplace fitness programs thus begins with the simple arithmetic of prevention. A study by Harvard researchers found that medical costs fall by about $3.27 for every dollar spent on wellness programs. Moreover, companies report reduced absenteeism, improved productivity, and fewer disability claims.

From Gym Perk to Health Strategy

The workplace fitness revolution has quietly evolved beyond on-site gyms. While Silicon Valley once wooed engineers with climbing walls and nap pods, the new emphasis is on integrated wellness architecture—spaces and schedules designed to facilitate movement throughout the day.

“Fitness is no longer a perk; it’s a strategy,” says Dr. Lena Gupta, a workplace health consultant based in Washington, D.C. “We’ve moved from subsidized gym memberships to embedded physical literacy—movement as part of the workday, not something squeezed in before or after.”

The emerging gold standard includes standing meetings, ‘active breaks’, group workouts during lunch hours, and even walking audits of corporate campuses. Some firms are experimenting with “movement nudges”—AI-generated reminders to stretch, walk, or perform micro-exercises during long Zoom calls.

But the centerpiece of this strategy is structured physical education, inspired by traditional PE curriculums in schools. Think guided classes in mobility, resistance training, posture correction, cardiovascular endurance, and mindfulness, all tailored for adult bodies and office constraints.

A Return on Health Investment

For all the enthusiasm around morale and culture, it is the actuarial tables that are tipping decisions. Chronic diseases account for 90% of America’s $4.1 trillion in annual healthcare spending. Of these, many are lifestyle-driven—meaning, preventable.

Companies are discovering that workplace fitness programs can dramatically reduce the incidence and severity of these diseases. Johnson & Johnson, which has run one of the longest-standing corporate wellness programs in the U.S., reports annual savings of $225 per employee through reduced medical claims. Bank of America, which introduced PE-like programs as part of its health initiative, saw employee turnover drop by 25% over five years.

Critically, such programs also reduce presenteeism—the hidden cost of employees who are physically present but unwell or disengaged. According to a study by the Journal of Occupational and Environmental Medicine, productivity losses due to health-related issues are estimated to cost U.S. employers $225.8 billion annually.

The Morale Multiplier

Physical education at work does more than extend lifespans or reduce claims. It builds camaraderie. Shared movement is one of the few rituals that transcends hierarchy, industry, and age. A lunchtime yoga session or post-work cycling group allows interns to sweat beside executives. This flattens organizations and strengthens culture.

More importantly, it signals care. In a Gallup poll, employees who feel their employer is genuinely concerned for their well-being are 69% less likely to search for a new job. At a time when burnout is driving the Great Resignation and Gen Z expects holistic benefits, the presence of a PE program can differentiate employers in a fiercely competitive labor market.

“You don’t need bean bags and kombucha,” says Rashida Bellamy, head of HR at a mid-sized fintech firm in Chicago. “You need to show that you’re investing in health—physical, emotional, communal.”

Retention through Rejuvenation

It is no accident that companies with robust wellness cultures also tend to have high retention rates. A 2023 report by Deloitte found that 77% of employees are more likely to stay at a company that prioritizes their well-being. For millennials and Gen Z—who now comprise over half the workforce—flexibility, purpose, and health are inseparable.

PE programs also play a quiet role in institutional knowledge retention. When employees feel better physically, they are less likely to take long-term medical leave, retire early due to preventable illnesses, or disengage from developmental opportunities.

Consider this: a mid-level manager with 12 years of firm-specific knowledge leaves due to burnout-induced hypertension. Replacing her may cost upwards of 150% of her salary when factoring in lost productivity, recruitment fees, and onboarding time. If a $500-a-year investment in fitness classes could retain her, the cost-benefit ratio is impossible to ignore.

Barriers and Blind Spots

Despite their promise, workplace fitness programs face real challenges. The first is space. Not all companies have campuses or in-house gyms. Urban firms in high-rent buildings may find it difficult to dedicate square footage to wellness.

The second is participation. Programs often fail due to lack of buy-in. Employees feel guilty leaving their desk. Managers send mixed signals. Without top-down modeling, fitness initiatives wither.

Third, there’s the inclusion gap. Not all bodies, ages, or cultural backgrounds approach physical activity the same way. A CrossFit session at 6am may thrill a 29-year-old developer but alienate a 52-year-old accountant managing arthritis.

Smart companies address these challenges by being deliberate. Fitness should be normalized—not exceptionalized. It should be inclusive, adaptive, and aligned with performance, not just aesthetics. Firms like Salesforce, for instance, offer tiered wellness programs, from chair yoga and desk stretching to high-intensity bootcamps, each guided by professionals trained in adaptive movement.

From Fitness to Policy

The rise of workplace physical education is not purely a private trend. Public policy is beginning to take note. In the U.K., companies receive tax breaks for providing certain wellness benefits. In Germany, the government subsidizes up to €500 per employee for approved health-promoting workplace activities. In the U.S., wellness programs can be tied to health savings accounts (HSAs), with the potential for future tax incentives.

More provocatively, some economists are arguing that workplace fitness could become part of national health strategy. If chronic disease is a macroeconomic risk, then workplace movement is not just a human resources issue—it’s a matter of national competitiveness.

The Future of Corporate Kinesiology

The most forward-thinking firms now view workplace movement as part of corporate infrastructure. Just as Wi-Fi, lighting, and HVAC systems became essential, so too will movement pathways, fitness pods, and employee biometric monitoring. In the age of wearable tech, companies may eventually optimize workflows around energy cycles and physical rhythms.

Already, some start-ups are experimenting with “kinesiology-as-a-service”—subscription-based platforms that provide customized movement plans, daily challenges, and performance tracking for hybrid teams. Others are integrating wellness directly into task management tools, prompting users to stretch between emails or walk during calls.

In this vision, physical education is not a nostalgic return to high school gym. It is a reinvention of the workday itself—a dynamic, embodied, and biologically attuned experience.

Moving the Bottom Line

For all the metrics, charts, and ROI calculations, the case for physical education at work comes down to a simple truth: humans were not designed to sit 10 hours a day staring into blue light. The modern workplace must evolve—not only to optimize performance, but to safeguard the humanity of its workers.

In doing so, companies may rediscover something long forgotten in the drive for efficiency: that a healthier, happier employee is not a cost, but a compounding asset.

Benefits of Physical Education in the Workplace

Enhanced Employee Health and Wellness
Regular physical activity reduces the risk of chronic illnesses like obesity, diabetes, and heart disease. This leads to fewer medical claims, contributing to significant long-term savings on healthcare costs for employers.
Lower Long-Term Healthcare Costs
By promoting physical fitness, companies can reduce the frequency and severity of employee health issues. This not only lowers healthcare premiums but also decreases out-of-pocket expenses for employees, boosting their overall satisfaction and loyalty.
Improved Productivity and Focus
Exercise boosts cognitive function, energy levels, and alertness. Employees who engage in regular physical activity are better equipped to tackle their work with greater focus and efficiency.
Higher Employee Morale
Group fitness activities, wellness challenges, and company-sponsored health initiatives foster a sense of community and belonging. Employees who feel supported in their well-being are generally more positive, motivated, and satisfied with their workplace.
Reduced Stress and Burnout
Physical activity is a proven method for managing stress. Offering workplace fitness programs helps employees cope better with demanding workloads, resulting in improved mental health and a more resilient workforce.
Improved Employee Retention
Wellness programs, including physical education, demonstrate a company’s commitment to its employees’ well-being. Such initiatives are attractive to job seekers and help retain current staff by reinforcing a supportive and health-conscious work culture.
Stronger Workplace Culture
Fitness initiatives encourage teamwork and camaraderie, fostering stronger interpersonal relationships among employees. This contributes to a more cohesive and collaborative workplace environment.

How to Introduce Physical Education in the Workplace

On-site Fitness Classes
Offer yoga, pilates, Zumba, or aerobics classes during lunch breaks or after hours.
Dedicated Fitness Spaces
Provide gyms or multipurpose rooms equipped with fitness gear. Even small spaces with basic equipment can make a big difference.
Wellness Challenges
Organize step competitions, fitness challenges, or team-based activities. Provide rewards such as gift cards or extra vacation days to incentivize participation.
Active Breaks
Encourage employees to take short, active breaks during the day to stretch, walk, or do light exercises.
Collaboration with Professionals
Partner with trainers, therapists, or health coaches to offer tailored programs and guidance.
Flexible Work Hours
Allow employees to integrate physical activity into their schedules without feeling penalized for stepping away from their desks.
Outdoor Activities and Events
Plan outings like fun runs, team hikes, or charity sports events that combine fitness with social engagement.
Fitness Subsidies
Provide financial support for gym memberships or home fitness equipment to remove cost barriers for employees.

Challenges and Solutions

Limited Resources
- Solution: Start small with walking groups or virtual fitness programs, and grow the initiative as resources allow.
Low Participation Rates
- Solution: Offer diverse programs that cater to various fitness levels and interests. Create an inclusive environment and incentivize participation with rewards.
Initial Costs
- Solution: Frame the program as an investment that will yield long-term savings on healthcare and employee turnover. Over time, cost reductions in other areas can offset the upfront expenses.

The Long-Term Impact

Investing in workplace physical education yields far-reaching benefits. Companies can reduce healthcare costs by minimizing the risk of chronic illnesses, while higher employee morale contributes to a more motivated and engaged workforce. Employees who feel valued and supported are more likely to stay with the organization, reducing turnover and recruitment costs. By fostering a culture of health and well-being, companies not only enhance individual employee lives but also ensure the organization thrives.

From Classrooms to Cleanrooms: What HBCUs Must Do to Compete with PWIs in Deep Tech and Semiconductor Innovation

Posted on July 11, 2025 by hbcumoney | 1 comment

“A lot of kids growing up today aren’t told that you can be whatever you want to be. I am living proof you can do that. If you have the talent and the passion, you can build the future.” – Mark Dean, Black IBM engineer and inventor who co-created the personal computer and holds three of IBM’s original nine PC patents

In late June 2025, HEXAspec—a Rice University spinout—captured a $500,000 National Science Foundation (NSF) Partnership for Innovation grant for its breakthrough work in thermal management for GPUs. In a tech world grappling with the environmental and efficiency challenges of artificial intelligence (AI) and high-performance computing, the achievement turned heads across academic, investment, and scientific communities alike. Yet amid the applause lies a hard truth: not one HBCU was remotely close to competing for that same prize. Not because HBCUs lack talent, but because they lack the systemic infrastructure to harvest, incubate, and capitalize on that talent.

The chasm between HBCUs and predominantly white institutions (PWIs) in deep tech commercialization is as wide as it is worrisome. Deep tech—defined by transformative innovation in areas like semiconductors, quantum computing, and climate technology—requires long-term capital, robust research infrastructure, and high-trust, high-dollar partnerships with government and industry. These are precisely the things HBCUs have historically been denied or underinvested in. The question now is not whether HBCUs can catch up—but whether they will prioritize institutional shifts necessary to stop losing by default.

The Innovation Economy: The New Gateway to Power

Today’s innovation economy is no longer driven by consumer startups hawking mobile apps. Instead, it is being shaped by semiconductors, AI infrastructure, clean energy technologies, and advanced materials. These domains form the core of what the Department of Commerce calls “national critical capabilities”—a short list of sectors that will dictate U.S. competitiveness in the coming century.

The federal government, through the CHIPS and Science Act, the Inflation Reduction Act, and NSF initiatives like the Engines program, has made clear where it will direct its attention—and money. However, most of that funding has flowed to elite PWIs like MIT, Stanford, and Rice. Why? Because those institutions have built systems that convert faculty research into startups, license technologies to Fortune 500 companies, and aggressively pursue government grants through dedicated offices with seasoned staff and alumni connections.

HBCUs, by contrast, often find themselves trapped in subsistence mode—juggling shrinking state funding, donor droughts, and outdated infrastructure. Even when they do produce brilliant scientists and engineers, they are often siphoned off by PWIs, venture capital firms, or federal labs where their IP contributions enrich other institutions.

The goal for HBCUs is not just to get a slice of the pie—it is to own the bakery.

Why HBCUs Are Losing in Deep Tech (And How To Fix It)

1. No Institutionalized Commercialization Pathways

Rice University’s HEXAspec didn’t win a grant because of luck. It emerged from the university’s Liu Idea Lab for Innovation and Entrepreneurship (Lilie), which exists solely to help faculty and students translate research into viable companies. Most HBCUs do not have such a lab—or even a dedicated Office of Technology Transfer.

To compete, HBCUs must institutionalize commercialization in their mission. This means establishing:

Internal seed funding mechanisms for promising research
Technology transfer offices with experienced patent lawyers and startup advisors
Accelerator programs targeting deep tech verticals
Alumni angel networks to fund spinouts

Without these, ideas will remain trapped in the lab—and the economic fruits will go elsewhere.

2. Lack of Research Infrastructure in Key Industries

Semiconductors, materials science, and energy storage require state-of-the-art labs, cleanrooms, and expensive machinery. These are multi-million-dollar commitments most HBCUs currently lack. But waiting for philanthropy or state generosity to fund them is a losing strategy.

Instead, HBCUs should pursue regional consortia to co-own such infrastructure. For example, a Deep South Semiconductor Consortium could bring together Jackson State, Tuskegee, Southern University, and Prairie View A&M to jointly invest in fabrication labs, wafer testing facilities, and AI research clusters. Land-grant HBCUs have both the land and the federal designation to attract such funding—if they are organized and bold.

3. Underleveraged Alumni Networks

MIT alumni fund startups before most even have a name. At HBCUs, alumni often wait for a call to contribute to scholarships or athletic departments. There is little systemic cultivation of alumni as early-stage investors, strategic partners, or board members in research spinouts.

This must change. Institutions like Howard, Morehouse, and NC A&T should be grooming alumni with industry experience to invest in campus spinouts. HBCU endowments should allocate a small percentage to internal venture capital—seeding their own companies instead of investing in white-led VC funds that ignore Black founders.

4. Faculty Incentives and Sabbaticals

Many HBCU faculty juggle overwhelming teaching loads, with little time or incentive for research commercialization. Unlike PWIs, where professors routinely take sabbaticals to commercialize research or sit on startup boards, HBCUs rarely support such flexibility.

Presidents and provosts must restructure faculty contracts to reward commercialization, encourage patent filings, and support teaching reductions for faculty leading deep tech ventures. Faculty must become institutional entrepreneurs, not just employees.

Federal Funding Alone Won’t Save Us

Yes, HBCUs have been historically underfunded. Yes, they face structural racism. But federal funding, when it comes, should meet us halfway—not pull us from the basement. Competing for NSF grants requires grant writers, internal review committees, and aggressive outreach. When Rice University wins NSF money, it’s because the institution has a playbook.

HBCUs need a playbook. The White House’s Initiative on HBCUs can fund technical assistance centers focused on grant acquisition, proposal design, and intellectual property strategy. These centers should live at HBCUs, not just be managed by consulting firms and retired PWI administrators with no stake in HBCU sovereignty.

Deep Tech is a Strategic Asset. HBCUs Must Treat it as Such.

In 2025, global supply chains are being rewritten. Semiconductor control is no longer just an industry issue—it is national security. Nations are forming tech alliances. Cities are building innovation districts. And investors are backing companies with decade-long R&D timelines because the rewards are generational.

HBCUs must enter this arena with the same clarity and urgency as any geopolitical actor. The institutions that helped engineer Black America’s ascent during segregation must now help engineer Black America’s role in the Fourth Industrial Revolution. That means going far beyond DEI rhetoric and focusing on institutional capital, not just human capital.

What a Competitive HBCU Ecosystem Could Look Like

Imagine this:

Howard University launches a Deep Tech Lab with funding from Black-led venture capital firms.
NC A&T, already a top producer of Black engineers, builds a quantum computing facility co-owned with MIT Lincoln Lab, with graduates flowing into DARPA-backed projects.
Fisk University, with its elite physics tradition, leads a semiconductor materials initiative funded through an HBCU Engines grant from NSF.
HBCU United, a new consortium of 30 HBCUs, pools $100M in alumni capital to invest in research commercialization, faculty sabbaticals, and patent acquisition.

This is not fantasy. It is simply the result of what happens when HBCUs start behaving like institutions of power—not institutions asking for inclusion.

Compete or Be Colonized (Again)

The innovation economy is not just about startups and science. It is about who will own the 21st century. If HBCUs do not build internal capacity to compete in the deep tech space, they will become labor farms—training brilliant Black minds who will go on to build white wealth.

Rice University’s HEXAspec is a signal — and a threat. It tells us what’s possible. The question is whether HBCUs will treat it as a wake-up call or another missed opportunity.

In the words of Frederick Douglass, “Power concedes nothing without a demand.” It’s time HBCUs demand more—of themselves and of the systems they are meant to challenge. The lab coats may be new, but the game remains the same: compete, or be colonized.

Disclaimer: This article was assisted by ChatGPT.

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Tagged AI infrastructure HBCUs, Black STEM leadership, Black tech entrepreneurship, deep tech HBCUs, HBCU engineering innovation, HBCU innovation, HBCU research funding, HBCU startups, HBCU tech strategy, HBCU technology ecosystem, HBCU venture capital, hbcu vs pwi, NSF grants HBCUs, semiconductor research, tech commercialization HBCUs

Has The Internet Become A Utility? No, But It Is Close

Posted on June 17, 2025 by hbcumoney | 1 comment

Opportunity has power over all things. — Sophocles

I have constantly made the argument that just because you put someone on a nuclear submarine does not mean they will innately figure out how to pilot it. In fact, disaster is more likely to happen. Just giving someone access to information does not mean they will automatically know how to better themselves unless that portal is strictly designed to do so. However, the internet is filled with as much junk (if not more) than useful information. People will therefore gravitate to what they have learned to comprehend. There is the argument that having water in your home is better than not, but what if that water is more toxic than clean. The faucet becomes deadly, not helpful.

What is a utility? The dictionary defines a public utility as “a business enterprise, as a public-service corporation, performing an essential public service and regulated by the federal, state, or local government.”

Based on this definition, the internet does not quite fit the criteria of a public utility—at least, not yet. While the internet has certainly become an essential service in modern society, it lacks the same level of regulation and universal accessibility that defines traditional utilities like electricity, water, and gas. These utilities are tightly controlled to ensure consistency, affordability, and access for all, regardless of socioeconomic status. The internet, by contrast, is still largely managed by private corporations that set their own prices, establish service areas, and determine the quality of the connection users receive. This has led to disparities in access, with high-speed broadband readily available in affluent urban areas while rural and lower-income communities often struggle with slow or unreliable connections.

One of the biggest distinctions between the internet and traditional utilities is the role of regulation. Electricity and water services are heavily regulated because they are deemed necessary for survival and public welfare. In contrast, the internet operates in a more laissez-faire environment. While governments have attempted to introduce regulations such as net neutrality—intended to ensure equal access to all online content—these efforts have faced pushback from major telecommunications companies. The debate over whether the internet should be classified as a public utility is an ongoing one, with proponents arguing that universal access is a fundamental right in an increasingly digital world, while opponents fear overregulation could stifle innovation and increase costs.

Despite these challenges, the internet has become nearly indispensable in daily life. It is the backbone of modern communication, education, commerce, and entertainment. Job applications, telehealth services, remote work opportunities, and access to government resources all depend on a reliable internet connection. The COVID-19 pandemic underscored just how vital internet access is, as schools transitioned to online learning and businesses adopted work-from-home models. Those without reliable internet were left at a severe disadvantage, further exacerbating existing inequalities.

Another factor to consider is infrastructure. Traditional utilities operate on a centralized infrastructure model, where a single provider (often a government-regulated entity) manages distribution to all consumers. The internet, however, consists of a decentralized network of private providers, each controlling different segments of the infrastructure. While this decentralization has allowed for rapid innovation and expansion, it has also led to fragmentation, where service quality and pricing vary widely based on geographic location. In areas with limited competition, internet providers can charge high fees for subpar service, leaving consumers with little recourse.

Cost is another key element in the utility debate. Utilities like water and electricity are subject to price regulations to prevent excessive charges. The internet, however, remains largely unregulated in this regard, with broadband costs in the United States being some of the highest in the world. Many low-income households cannot afford high-speed internet, effectively locking them out of opportunities that require online access. This digital divide reinforces socioeconomic disparities, as those with consistent internet access gain educational and economic advantages over those who are disconnected.

Moreover, the quality of the internet experience is not uniform. Unlike water, which is expected to be safe to drink regardless of where you live, the internet experience varies widely based on available bandwidth, provider policies, and regional infrastructure. Some communities suffer from data caps, throttling, and unreliable service, while others enjoy ultra-fast fiber-optic connections. This inconsistency highlights another major difference between the internet and true public utilities.

If the internet were to become a public utility, significant changes would need to occur. Governments would have to step in to ensure equitable access, set fair pricing standards, and improve infrastructure in underserved areas. Public broadband initiatives, such as municipal networks, have already been proposed and implemented in some areas, offering lower-cost, high-speed options as an alternative to private ISPs. However, these efforts are often met with legal and political challenges, as existing providers fight to maintain their market dominance.

The argument that the internet should be classified as a utility stems from its necessity in modern life. Just as society determined that water, electricity, and gas are essential for a functioning household, the internet is increasingly seen as an essential service. Many believe that access to the digital world should not be a privilege but a right. However, until regulations catch up with this reality, the internet remains in a gray area—essential, but not yet universally protected and regulated like a true public utility.

To enhance the discussion on the internet’s status as a utility, it’s essential to examine the digital divide—the gap between those who have access to modern information and communication technologies and those who do not. Despite advancements in global connectivity, significant disparities persist both within the United States and worldwide.

Global Perspective

As of 2022, approximately 2.7 billion people, or one-third of the world’s population, remained without internet access. Additionally, 53% lacked access to high-speed broadband, limiting their ability to engage fully in the digital economy.

The divide is more pronounced between high-income and low-income countries. In high-income nations, internet usage stands at about 93%, whereas in low-income countries, only 27% of the population is online. This discrepancy highlights the infrastructural and economic challenges faced by developing regions in achieving digital parity.

Gender disparities also contribute to the global digital divide. Globally, 70% of men use the internet compared to 65% of women. Women account for a disproportionate share of the offline population, outnumbering male non-users by 17%. This gap underscores the need for targeted initiatives to promote digital inclusion among women.

United States Perspective

In the United States, while 95% of adults use the internet and 90% own a smartphone, only 80% have high-speed internet at home. This indicates that a significant portion of the population still lacks reliable broadband access, affecting their ability to participate fully in digital activities.

Income disparities significantly influence internet access. In 2019, 44% of adults in households earning below $30,000 annually did not have broadband services. This lack of access can hinder opportunities for education, employment, and access to essential services.

Educational attainment also plays a role in digital connectivity. Adults with higher education levels are more likely to have internet access, highlighting the intersection between education and digital inclusion.

Racial and ethnic disparities further exacerbate the digital divide. In 2021, 71% of White non-Hispanics used a PC or tablet, compared to 57% of African Americans and 54% of Hispanics. These differences can perpetuate existing inequalities in education and employment opportunities.

Implications

The digital divide has far-reaching consequences. Individuals without reliable internet access face challenges in job applications, accessing healthcare, and participating in educational opportunities. For instance, during the COVID-19 pandemic, students without home internet struggled with remote learning, exacerbating educational inequalities.

Addressing the digital divide is crucial for ensuring equitable access to information and opportunities. Potential solutions include investing in infrastructure to expand broadband access, implementing affordable internet programs, and enhancing digital literacy initiatives. Bridging this gap is essential for the internet to be considered a true utility, accessible and beneficial to all.

The digital divide—the gap between those with access to modern information and communication technologies and those without—profoundly affects various sectors, notably entrepreneurship and Historically Black Colleges and Universities (HBCUs).

Impact on Entrepreneurship

Entrepreneurs rely heavily on digital tools for marketing, sales, communication, and operations. Limited access to high-speed internet and digital technologies hampers business growth and innovation.

Rural Entrepreneurs: In the United States, rural small businesses face significant challenges due to inadequate broadband access. This deficiency restricts their ability to expand customer bases through online sales and reduces operational efficiencies. Research indicates that limited broadband access correlates with reduced business innovation in rural areas, as it impedes the adoption of cloud-based technologies essential for modern business operations.
Women Entrepreneurs in Developing Countries: The high cost of mobile data and unreliable internet connectivity disproportionately affect female entrepreneurs in developing nations. A survey across 96 countries revealed that 45% of women in business lack regular internet access due to expense and connectivity issues, hindering their capacity to market products, communicate with customers, and receive payments.
General Entrepreneurial Challenges: The digital divide limits access to digital finance, reducing diversified funding sources for disadvantaged groups. This constraint affects the ability to engage in open innovation processes, as individuals without access to information and communication technologies (ICT) cannot participate effectively in the digital economy.

Impact on HBCUs

Historically Black Colleges and Universities play a crucial role in providing higher education to African American communities. However, many HBCUs face challenges related to the digital divide.

Infrastructure Limitations: A significant number of HBCUs are located in areas with limited broadband access, often referred to as “broadband deserts.” This lack of high-speed internet hampers the institutions’ ability to offer digital learning resources and affects students’ educational experiences.
Funding and Resources: HBCUs have historically been underfunded, limiting their capacity to invest in necessary digital infrastructure and technology. This financial constraint exacerbates the digital divide, affecting the quality of education and the institutions’ competitiveness.
Digital Literacy and Inclusion: Despite these challenges, HBCUs are actively working to bridge the digital divide by fostering digital literacy and inclusivity. Initiatives include collaborative assignment designs and amplifying student voices to enhance digital learning experiences.

Efforts to Bridge the Gap

Addressing the digital divide requires concerted efforts from governments, private sectors, and educational institutions.

Investments in Infrastructure: Allocating funds to improve broadband infrastructure in underserved areas is crucial. For instance, federal agencies have directed significant financial support towards technology initiatives in HBCUs to enhance digital equity.
Public-Private Partnerships: Collaborations between corporations and educational institutions can lead to substantial improvements in digital infrastructure. Such partnerships aim to enhance technology access and digital literacy among students and the broader community.
Policy Initiatives: Governments can implement policies to reduce the cost of mobile data and internet services, making them more affordable for entrepreneurs and educational institutions. Such measures are vital in developing countries where the cost remains a significant barrier.

The digital divide significantly impacts entrepreneurship and HBCUs by limiting access to essential digital tools and resources. Addressing this issue is critical for fostering economic growth, innovation, and educational equity.

Ultimately, the question of whether the internet should become a utility comes down to societal priorities. If we agree that digital access is fundamental to education, employment, healthcare, and civic engagement, then steps must be taken to ensure it is available to all, regardless of income or location. This may mean rethinking current regulatory frameworks, expanding public broadband initiatives, or enforcing stricter oversight of internet service providers. Until then, the internet remains on the verge of utility status—vital, but not yet universally accessible or regulated in the way that other essential services are.

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Tagged digital literacy, entrepreneurship, green infrastructure, infrastructure, internet, it infrastructure, public good, public-private partnerships, rural entrepreneurship, technology gap, technology policy, utility, women entrepreneurs

Why 1890 HBCUs Must Develop A Joint Tree Nursery: Sowing Legacy, Profit, and Power

Posted on June 3, 2025 by hbcumoney | Leave a comment

“Since new developments are the products of a creative mind, we must therefore stimulate and encourage that type of mind in every way possible.” – George Washington Carver

The 1890 Land-Grant HBCUs were created not out of generosity but from segregation. And yet, over 130 years later, these institutions have carved out vital roles in agricultural education, food systems innovation, and land stewardship within the African American community. With the ever-growing climate crisis, shrinking agricultural landholdings for African Americans, and a glaring need for sustainable economic engines, the case for a joint tree nursery among the 1890 HBCUs is less an idea and more an imperative. The time for silos is over. A joint nursery would allow the 1890s to consolidate resources, amplify research, and plant the seeds—literally and economically—of a new generational legacy.

The Decline of African American Landownership and Ongoing Discrimination

In 1910, African Americans owned between 16–19 million acres of farmland. The years around this period would also see the Red Summer of 1919, when African Americans were violently targeted and lynched—many as punishment for owning land and asserting agency. Today, that number has dwindled to just 5.3 million acres as of 2022, according to the USDA’s Census of Agriculture, representing less than 0.6% of all U.S. farmland.

The decline is not just the result of economic shifts—it is the result of orchestrated policies and racially motivated practices. From the USDA’s long-standing discriminatory loan denials to heirs’ property laws that have gutted intergenerational land transfer, the path of African American landownership has been riddled with legal landmines. The Pigford v. Glickman settlement acknowledged this in part, but much of the damage remains.

The 2022 USDA Census also shows that Black producers make up just 1.4% of all U.S. farmers and generate only 0.5% of all farm-related income. These are not just agricultural figures—they are a ledger of institutional neglect.

A tree nursery jointly stewarded by the 1890 HBCUs could serve as a bulwark against further erosion. It would offer seedlings, training, and enterprise development that support African American landowners, reinforcing land retention, sustainable usage, and intergenerational economic viability.

Political Hostilities Facing HBCUs

Despite their vital role in education, research, and community development, HBCUs—especially 1890 land-grant institutions—have faced persistent political and financial challenges. These institutions continue to experience disparities in state and federal funding compared to predominantly white institutions (PWIs). Some of the key political hostilities facing HBCUs include:

Underfunding and Resource Disparities: Many 1890 HBCUs receive significantly less funding than their 1862 land-grant counterparts. Studies have shown that some states fail to allocate matching funds as required by federal law, putting HBCUs at a financial disadvantage.
Legislative Attacks on DEI Initiatives: In recent years, political efforts to limit diversity, equity, and inclusion (DEI) programs have targeted HBCUs and other minority-serving institutions. These measures threaten scholarship opportunities, faculty recruitment, and student support services.
Land-Grant Inequities: Unlike 1862 land-grant universities, 1890 HBCUs were historically excluded from receiving direct land allocations, resulting in fewer resources to develop agricultural research and extension programs. This inequity continues to hinder the growth of HBCU-led agricultural initiatives.
Institutional Wealth Gap: A stark difference exists between the endowments of 1890 HBCUs and their 1862 counterparts. Many 1862 land-grant universities have endowments in the billions, while 1890 HBCUs often operate with significantly smaller financial reserves. This gap limits their ability to invest in infrastructure, research, and large-scale agricultural projects. By collaborating, 1890 HBCUs can leverage collective resources to overcome these financial disparities.
Bureaucratic Challenges in Federal Funding: While the federal government provides grants and research funding for HBCUs, bureaucratic red tape often delays disbursement, limiting their ability to expand programs and infrastructure.
Hostile Political Climates in Some States: Certain state governments have attempted to merge or close HBCUs under the guise of budget cuts, despite the institutions’ strong academic contributions. These efforts undermine the historical and cultural significance of HBCUs in providing equitable education.

By establishing a joint tree nursery, 1890 HBCUs can leverage collective power to secure funding, build partnerships, and showcase the tangible benefits of investing in Black-led agricultural and environmental initiatives.

Benefits of Developing a Joint 1890 HBCU Tree Nursery

Environmental Sustainability and Climate Change Mitigation

Deforestation and land degradation disproportionately affect African American communities, contributing to environmental injustices such as poor air quality and increased vulnerability to natural disasters. A joint tree nursery among all 1890 HBCUs would:

Provide seedlings for reforestation projects in Black-owned lands and underserved communities
Help mitigate climate change by sequestering carbon dioxide through afforestation and agroforestry initiatives
Promote soil conservation and reduce erosion, particularly in the South, where agricultural practices have historically led to soil depletion

Economic Empowerment and Job Creation

A tree nursery initiative would not only benefit HBCU students and faculty but also offer economic opportunities to local landowners. Potential benefits include:

Revenue Generation: HBCUs can sell tree seedlings to farmers, municipalities, and reforestation programs, creating an additional income stream
Employment Opportunities: These nurseries can provide jobs for students, alumni, and community members in nursery management, forestry, and agribusiness sectors
Support for Black Farmers: Providing affordable seedlings and training on agroforestry practices can help African American landowners diversify their income and maximize land productivity

The Economic Benefits of the Timber Industry

The timber industry presents a lucrative opportunity for African American landowners and HBCUs. A joint tree nursery can serve as a foundation for engaging in sustainable forestry and timber production. Some key economic benefits include:

High Market Demand: The U.S. timber industry generates over $300 billion annually, with growing demand for sustainable wood products in construction, paper, and bioenergy sectors
Long-Term Investment: Timberland is a valuable asset that appreciates over time, providing generational wealth-building opportunities for Black landowners
Carbon Credit Market: African American landowners can participate in carbon credit programs by managing timberlands for carbon sequestration, receiving financial incentives for maintaining forests
HBCU Forestry Programs: Expanding forestry education at HBCUs can produce a new generation of Black professionals in timber management, conservation, and agribusiness
Sustainable Agroforestry: Integrating tree farming with traditional agriculture can enhance soil health, improve biodiversity, and create additional revenue streams for small-scale farmers

Enhancing Agricultural Education and Research

Many 1890 HBCUs already have robust agricultural programs. Establishing a joint tree nursery would further enrich their curricula by:

Offering hands-on training in silviculture, agroforestry, and nursery management
Creating research opportunities in sustainable land management, biodiversity conservation, and climate resilience
Facilitating collaborations with government agencies, non-profits, and private sector partners in reforestation and urban greening initiatives

Cross-Institutional Leverage: Strength in Numbers

A joint venture allows for economies of scale. Rather than every 1890 HBCU creating a small, under-resourced nursery, a consortium-based model allows for regional specialization and centralized management. One school could lead genetic research, another logistics, and another economic modeling. By specializing within the larger system, each institution contributes to a whole far greater than its parts.

Shared governance would also model cooperative economics for students and landowners alike—an important lesson in collective power for African American institutions that have long been made to compete rather than collaborate.

Community Wealth Building

The ultimate beneficiaries of this nursery aren’t just students or the HBCUs themselves—but the millions of African American families with access to underutilized or at-risk land. With the right training, seedlings, and partnerships, that land can be revitalized. It can produce not only timber but herbs, fruits, shade, and carbon credits.

The nursery becomes the beginning of a longer story—of community land trusts, green business corridors, and intergenerational financial literacy built around land-based wealth.

Seeding Sovereignty: A Strategic Call to Action

Developing a joint tree nursery among all 1890 HBCUs is more than an agricultural endeavor. It is an act of economic strategy, cultural restoration, environmental justice, and institutional collaboration. It’s about controlling the seed, the soil, and the story.

HBCUs have always been tasked with doing more with less. The joint nursery is an opportunity to do more—together—and build an enduring institutional asset rooted in cooperation, conservation, and community wealth.

Moreover, this initiative holds symbolic power. In the act of planting trees, 1890 HBCUs will be planting legacy—sending a signal that African American institutions are prepared not only to survive hostile economic climates, but to thrive through collective will. Trees are not short-term investments; they require long-term vision, care, and commitment—just like the kind of intergenerational institution-building African America must embrace.

The nursery would also be an anchor institution for Black innovation in climate tech, agroforestry finance, and regional ecosystem services. The act of growing trees connects economics with ecology, and by anchoring that process within the halls and lands of 1890 HBCUs, we bring knowledge production, carbon markets, and green workforce development under African American institutional ownership.

This is more than sustainability—it is sovereignty. The type of sovereignty that rewrites narratives around Black land loss, economic disempowerment, and environmental marginalization. In a future where climate, capital, and culture will increasingly intersect, the 1890 HBCUs must see a joint tree nursery not as a boutique project but as a national imperative rooted in Pan-African strategy and local resilience.

The seeds of sovereignty are ready. The land is waiting. The only question is whether the institutions tasked with leading our communities into the future will plant now, or later—when the cost of delay may be too great to bear.