What Happened When Python Turned Down $1.5 Million
In October 2025, the Python Software Foundation (PSF) quietly stepped away from a $1.5 million funding opportunity offered through the US National Science Foundation (NSF), with support from the Department of Defence (DoD). The grant was designed to support critical security enhancements in Python’s software infrastructure, especially its very widely used package repository known as the Python Package Index (PyPI).
On its surface, the funding appeared straightforward—a significant injection into one of the world’s most used programming ecosystems. For a smaller organisation with an annual budget of around five million dollars, funds of that magnitude could have gone some way toward doing meaningful upgrades. However, the PSF pulled out of the deal upon looking at a particular clause in the agreement.
The Language That Changed the Outcome
The clause stated that applicants must confirm they “do not conduct or fund programmes or activities that promote diversity, equity, inclusion, and accessibility (DEIA).” This language emerged from new policy guidance related to some federal funding channels and was reportedly non-negotiable.
For the PSF, an outright conflict emerged. The foundation has traditionally supported several activities that increase the exposure of Python to special demographics, including travel grants to under-represented groups, regional meetups in non-dominant markets, and translations to help improve accessibility. The clause would have forced the PSF to either halt these efforts or risk violating the funding terms.
With this in view, the Foundation chose to step back from the process. In a public statement, the organisation said it could not, in good conscience, compromise its mission or values.
The Python Software Foundation’s Global Role
The PSF is not just a project maintainer. It’s the legal and organisational backbone of the Python programming language, supporting a community that spans continents, industries, and disciplines. Python, being the language of the world, is actively codified amidst machine learning applications in China, scientific research in Germany, and fintech infrastructure in Brazil.
Python neutrality is unusually critical because of its global implementation. Coders all over the world expect their open-source foundations to stay independent of political and ideological thoughts.
For the PSF, this neutrality is inseparable from the inclusive culture it has spent years cultivating.
What the US Government Intended to Gain
The grant was part of a broader federal push to strengthen the resilience of the open-source ecosystem following several high-profile software supply chain incidents, including Log4Shell and SolarWinds. In such attacks, bad actors exploited vulnerabilities in widely used open-source libraries to gain unauthorised access to private and public systems.
Given PyPI’s status as a central distribution point for Python packages, the US government saw it as a strategic asset worth securing. The proposed funding would have supported upgrades to authentication mechanisms, automated scanning tools, and the broader infrastructure of the ecosystem.
The Department of Defence’s interest in such projects isn’t surprising. Python is used extensively across US federal agencies, not only for research and automation but also for data processing, cybersecurity tasks, and AI model development. Enhancing Python’s security is in line with national cybersecurity objectives.
The Stakes of Saying No
In response to the refusal of the grant, the PSF would have to seek other means of funding for its pressing infrastructure needs. The Foundation mostly depends on corporate sponsors and individual donors. A number of big tech companies do sustain the Foundation by carrying out some of its administrative functions, but finding steady funding has always been one of the challenges in the open-source world.
The decision of the PSF seems to have earned more respect within the developer community at large. Developers, contributors, and educators coming from several other regions have vocally supported it on social networks, GitHub, and Mastodon, to name a few. Many considered the rejection necessary to ensure trust in the project’s governance.
A Divided Landscape
Not all organisations made the same decision. According to The Register and BleepingComputer, similar grants were offered to other open-source foundations. Some reportedly accepted the funding with similar language in place. The PSF has not commented on those cases, and the names of those organisations have not been disclosed.
This has led to broader discussions around how funding conditions can shape or compromise open-source missions. With governments worldwide beginning to invest more directly in open-source infrastructure, similar tensions may continue to arise.
Beyond the Funding
The PSF’s annual budget, based on publicly available filings, has hovered around $5 million in recent years. Roughly 40% comes from sponsorships, with the rest made up of donations, grants, and event revenues. The $1.5 million grant would have represented a 30% boost in annual resources—enough to scale ongoing projects, expand DEI work, and hire dedicated security engineers.
But accepting the grant with its current clause would have meant turning away from core programmes that connect Python to the world. The PSF chose not to isolate parts of its community for financial relief.
What This Means for Open Source
This incident raises ongoing questions for open-source foundations that operate across borders. What happens when regional political requirements conflict with global community expectations? How should non-profit tech organisations weigh funding against foundational values?
The PSF’s decision does not resolve these questions, but it frames the debate clearly. Governance matters. Transparency matters. The long-term trust of a global developer community may outweigh the short-term benefits of any single funding deal.