The recent bankruptcy of 2U, a major provider of online program management (OPM) services for colleges and universities, has sent shockwaves through the higher education landscape. While 2U’s troubles are rooted in specific business decisions and market dynamics, the situation raises crucial questions about the future of online learning and the role of OPMs.
For years, 2U offered a seemingly attractive solution for institutions looking to expand their reach and revenue streams: a partnership model where 2U would handle the technical, marketing, and student support aspects of online programs. However, the model relied on high tuition rates and a consistent flow of students, both of which are now being challenged.
The current economic climate, marked by rising inflation and student debt concerns, has made prospective students increasingly wary of expensive online programs. Moreover, the rise of other online learning platforms, like Coursera and edX, has led to increased competition and pressure on OPMs to demonstrate their value proposition.
The 2U bankruptcy serves as a stark reminder that simply offering online programs is no longer enough. Colleges and universities need to re-evaluate their strategies, focusing on:
Program Quality and Relevance: Ensuring online offerings are truly innovative and meet the needs of the modern workforce.
Cost-Effectiveness: Exploring alternative models for affordability and accessibility.
Marketing and Recruitment: Reaching and engaging a diverse student base beyond traditional demographics.
Student Support: Offering robust academic advising, career services, and personalized learning experiences.
The future of online learning is not bleak. However, it requires a shift in mindset. The 2U bankruptcy is a cautionary tale, urging institutions to prioritize quality, affordability, and student success in the evolving landscape of higher education. By embracing innovation and adaptability, colleges and universities can ensure their online programs thrive in the years to come.




