Harvard and Yale didn't hire the right lobbyists [0][1][2]
The other universities like Dartmouth, MIT, and public university systems did.
One of the side effect of being large endowment private universities meant Harvard and Yale remained extremely insular and concentrated on donor relations over government relations.
For example, MIT across town remained much more integrated with public-private projects compared to Harvard, and ime Harvard would try to leverage their alumni network where possible, but the Harvard alumni network just isn't as strong as it was 20 or 30 years ago.
Also, don't underestimate the Israel-Palestine culture war's impact on campus alumni relationships. Both pro-Palestinian and pro-Israeli campus orgs have continued to bombard me and other alumni to fight political battles against Harvard leadership for their side. Benefits of signing up to both Islamic orgs and Chabad to broaden my horizons back in the day I guess. Alumni from orgs on both sides are fine targeting the entire university, because fundamentally, Harvard is a very isolated experience where loyalty is to your house, a couple clubs, or your grad program - not Harvard as a whole.
And because Harvard has a lot of HNW alumni, they always try to meddle in some shape or form - Wen Jiabao's best friend funds the Fairbank Center, Kraft funds and hosts events at Chabad, some al Saud branches fund a couple Islamic clubs, a bunch of alt-right leaning Catholic traditionalists fund the Abigail Adams Institute, etc. It's just inter-elite fratricide at this point because no one truly gives a poo about Harvard.
Honestly, Harvard should prevent alumni from funding campus orgs, but they won't do so because donor relations.
[0] - https://www.politico.com/news/2025/03/19/trump-is-bombarding...
[1] - https://www.politico.com/news/2025/05/09/small-colleges-trum...
[2] - https://www.politico.com/newsletters/politico-influence/2024...
Edit: I am extremely pro-academic freedom. This move is a HORRIBLE affront to free speech and campus autonomy. My cynicism and disillusionment may sound like I support the move by the administration, but it is the complete opposite.