

Bill Gates showed his support for new digital entrants into the higher education market during his keynote speech at during the April 2016 ASU+GSV Education Summit and said, “Right now our opportunity is to think about the classroom and how we all get engaged in making it better for the students, a place they want to be, making their learning experience every bit as engaging as all the other digital experiences they have. Luckily, education’s recalibration has a lot to do with private market pioneers envisioning the space in a new manner. They might stand up and say ‘oh this is awful but keep sending the dough because we’re spending it like drunken sailors.’ Honestly, it’s a disincentive for them to actually fix the problem.” $70 billion a year coming into Washington, D.C. Daugherty poses the dilemma associated with spiraling loan debt and says, “The dirty secret in Washington is the average interest rate on a student loan is about 6% so if we lend those people over there $1.2 trillion at 6% interest they would be sending us about $70 billion a year in interest.
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It appears that the free market and technological innovation will be the solution to correct some of the financial burdens of higher education. That is where the future of education will ultimately come from.” I think their ability to package that to some accredited or certificate diploma and offer that to the rest of the world at a very different price point is going to fundamentally change the way we think about colleges and universities. Bob Daugherty, executive dean of the Forbes School of Business, tells me, “I think Coursera has the potential to really take over the market below the top 100 schools. In an applaudable fashion, these new market entrants are unraveling some of the burdens of higher education while also gaining an early mover advantage in the education marketplace. This financial outlay is trying like heck to figure out ways to untangle the complexity, cost, and, ultimately, the utility of higher education. The digital tools for providing a quality education online are quickly ramping up thanks in no small part to the education technology sector securing $6.54 billion of investment in 2015. OpenClassrooms, a large French MOOC, just released a four year degree on their platform that is recognized by the French State and Topica Edtech Group of South East Asia released a partnership agreement with Coursera that will allow Vinh University in Vietnam to become one of the first educational institutes to recognize credits from any of Coursera’s 1,800 MOOC offerings.

The push towards recognizing a larger allotment of MOOC courses in a credit-bearing direction is increasing.
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“You know when you’re watching something on TV and you just can’t get up? That class was like that for me.” Her first class, Human Evolution, was led by ASU professor and paleoanthropologist Don Johansson who is the man behind the discovery of Lucy, the 3.2 million-year-old human ancestor fossil in Ethiopia. The classes Richards has taken within the edX Global Freshman Academy have exceeded all her expectations. I think students need to consider this type of option because it gives them the flexibility to be able to work or enjoy their life and travel without the massive amounts of student debt and they are still getting the same classes.” Richards tells me, “I see friends that are drowning in student debt and these 18 and 19-year-olds-they just don’t think about that. In other words: she could get one year of her undergraduate degree at a bargain basement price from any location on the planet without any sacrifices. Her interest piqued when she discovered she could take her whole freshman year of university credit on the platform, pay for the courses only after successfully passing them at $200 a credit hour, and transfer all accredited course hours to ASU. Richards stumbled upon the Global Freshman Academy, a mash-up between Arizona State University (ASU) and edX, which is one of the massive open online content (MOOC) providers. Morgan Richards, a 31-year-old mother of three, is a trendsetter in her pursuit of a university degree. (appeared in the Apedition of The Huffington Post)
