Flirtin' with Disaster: American Higher Education and the Debt Trap

They call it a “path to opportunity,” but for millions of students and their families, American higher education is just Flirtin' with Disaster—a gamble with long odds and staggering costs. Borrowers bet their future on a credential, universities gamble with public trust and private equity, and the system as a whole plays chicken with economic and social collapse. Cue the screeching guitar of Molly Hatchet’s 1979 Southern rock anthem, and you’ve got a fitting soundtrack to the dangerous dance between institutions of higher ed and the consumers they so aggressively court.

The Student as Collateral

For the last three decades, higher education in the United States has increasingly behaved like a high-stakes poker table, only it’s the students who are holding a weak hand. Underfunded public colleges, predatory for-profits, and tuition-hiking private universities all promise upward mobility but deliver it only selectively. The rest? They leave the table with debt, no degree, or both.

Colleges market dreams, but they sell debt. Americans now owe more than $1.7 trillion in student loans. And while some elite schools can claim robust return-on-investment, most institutions below the top tiers produce increasingly shaky value propositions—especially for working-class, first-gen, and BIPOC students. For them, education is often less an elevator to the middle class than a trapdoor into a lifetime of wage garnishment and diminished credit.

Institutional Recklessness

Universities themselves are no saints in this drama. Fueled by financial aid dollars, college leaders have expanded campuses like land barons—building luxury dorms, bloated athletic programs, and administrative empires. Meanwhile, instruction is increasingly outsourced to underpaid adjuncts, and actual student support systems are skeletal at best.

The recklessness isn’t limited to for-profits like Corinthian Colleges, ITT Tech, and the Art Institutes, all of which collapsed under federal scrutiny. Even brand-name nonprofits—think USC, NYU, Columbia—have been exposed for enrolling students into costly, often ineffective online master’s programs in partnership with edtech firms. The real product wasn’t the degree—it was the debt.

A Nation at the Brink

From community colleges to research universities, institutions are now being pushed to their financial and ethical limits. The number of colleges closing or merging has skyrocketed, especially among small private colleges and rural campuses. Layoffs, like those at Southern New Hampshire University and across public systems in Pennsylvania, Oregon, and West Virginia, show that austerity is the new norm.

But the real disaster is systemic. The American college promise—that hard work and higher ed will lead to security—is unraveling in real time. With declining enrollments, aging infrastructure, and increasing political pressure to defund or control curriculum, many schools are shifting from public goods to privatized risk centers. Even state flagship universities now behave more like hedge funds than educational institutions.

Consumers or Victims?

One of the cruelest ironies is that students are still told they are "consumers" who should “shop wisely.” But education is not like buying a toaster. There’s no refund if your college closes. There’s no protection if your degree is devalued. And there's no bankruptcy for most student loan debt. Even federal forgiveness efforts—like Borrower Defense or Public Service Loan Forgiveness—are riddled with bureaucratic landmines and political sabotage.

In this asymmetric market, the house almost always wins. Institutions keep the revenue. Third-party contractors keep their profits. Politicians collect campaign checks. And the borrowers? They’re left flirtin’ with disaster, hoping the system doesn’t collapse before they’ve paid off the last dime.

No Exit Without Accountability

There’s still time to change course—but it will require radical rethinking. That means:

• Holding institutions and executives accountable for false advertising and financial harm.

• Reining in tuition hikes and decoupling higher ed from Wall Street’s expectations.

• Fully funding community colleges and public universities to serve as real social infrastructure.

• Expanding debt cancellation—not just piecemeal forgiveness—for those most harmed by a failed system.

• Ending the exploitation of adjunct labor and restoring the academic mission.

Otherwise, higher education in the U.S. will continue on its reckless path, a broken-down system blasting its anthem of denial as it speeds toward the edge.

As the song goes:
"I'm travelin' down the road and I'm flirtin' with disaster... I got the pedal to the floor, my life is runnin' faster."
So is the American student debt machine—and we’re all strapped in for the ride.

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Sources:

• U.S. Department of Education, Federal Student Aid Portfolio

• “The Trillion Dollar Lie,” Student Borrower Protection Center

• The Century Foundation, “The High Cost of For-Profit Colleges”

• Inside Higher Ed, Chronicle of Higher Education, Higher Ed Dive

• National Center for Education Statistics

• Molly Hatchet, Flirtin’ with Disaster, Epic Records, 1979

Southern New Hampshire University Layoffs: Cold Emails, Broken Promises, and the Slow Unraveling of America’s Largest Robocollege

Southern New Hampshire University (SNHU), once the darling of online education reformers and a favorite of the Obama administration, continues its quiet but relentless shedding of human labor. On Friday, June 27, 2025, roughly 60 employees were laid off without warning—no calls, no meetings, no human connection. Just a cold, impersonal email from new president Lisa Marsh Ryerson.

“There was no sincerity,” said one source familiar with the layoffs. “No real communication. Just a robotic email. No opportunity for questions, no acknowledgment of people’s service.”

This latest layoff is the third major reduction in force since 2023. And while the numbers may seem modest for an institution that claims to serve more than 160,000 students, the ripple effects are anything but small. They confirm a broader trend that SNHU insiders have been warning about for months: a once-praised institution is hollowing itself out in silence.

 
A University Without a Soul?

The June 27 layoffs, like those before them, were handled with stunning disregard for the people who built and maintained the university’s infrastructure. Staff across departments described the news as “dehumanizing,” “cold,” and “contrary to everything SNHU claims to value.” No information was provided about who was let go or why. And as of this writing, SNHU has offered no public acknowledgment.

This is the same university that advertises itself as “student-centered,” “innovative,” and “empathetic.” It appears those values stop at the edge of the marketing department.

“They preach empathy to students,” one employee noted. “But when it came to their own staff, there was none.”

 
The Robocollege Paradox

SNHU’s rise to prominence was driven by two powerful forces: automation and marketing. Often described by critics as “America’s largest robocollege,” SNHU relies on heavily automated instructional systems, pre-scripted faculty responses, and templated course shells. More than 8,000 part-time instructors serve a student body of mostly remote learners—while just 130 full-time instructors remain.

The result is a system that mimics personalization at scale, but often delivers an education that is generic, repetitive, and impersonal. Now, it seems, the internal culture is mirroring that very structure: efficient, indifferent, and inhumane.

In recent months, students have also begun to complain—about outdated materials, recycled syllabi, and lackluster engagement from instructors who are stretched thin and closely monitored. Meanwhile, internal critics point to a bloated administration where promotions are tied to personal loyalty rather than competence, and where technical expertise is often sidelined in favor of political convenience.

 
New President, Same Old Playbook

Lisa Marsh Ryerson’s appointment as SNHU’s new president was seen by some as a chance for renewal. A respected nonprofit leader and former head of AARP Foundation, Ryerson was expected to bring transparency, vision, and accountability. But her first major act—a mass layoff delivered by email—suggests a continuation of the old regime’s worst habits.

Under her predecessor Paul LeBlanc, SNHU transformed from a small regional college to a billion-dollar online giant. But that transformation was not without costs: overreliance on adjuncts, erosion of curriculum quality, and a growing divide between leadership and labor.

Ryerson’s June email—void of any opportunity for dialogue or recognition—has raised questions about whether her presidency will offer anything different, or whether SNHU’s machine-like management culture is simply too entrenched.

 
A Warning to the Sector

What’s happening at SNHU is not unique, but it is instructive. As more universities turn to online models and data-driven scalability, the human core of education is being sacrificed. Staff are seen as expendable. Adjuncts are interchangeable. And students are increasingly treated as customers rather than learners.

In this environment, SNHU has become both a symbol of possibility and a cautionary tale: a nonprofit that operates like a for-profit, with all the social costs but none of the public accountability.

The Higher Education Inquirer has been tracking SNHU’s internal crises for months:

Sept. 27, 2024: America’s Largest Robocollege Facing Resistance from Human Workers and Student Complaints About Curriculum

June 27, 2025: Layoffs at Southern New Hampshire University

These are not isolated events. They are part of a long-term unraveling of an institution that once promised transformation—but now seems trapped in its own machinery.

We will continue to report on SNHU and invite current and former employees, students, and stakeholders to share their experiences confidentially. You are not alone.

If you work at SNHU or have insider knowledge, contact the Higher Education Inquirer at gmcghee@aya.yale.edu.  All correspondence will be kept confidential.  

Google, Amazon Web Services, and the Robocollege Gold Rush

The rise of robocolleges—massive, data-driven online universities like Southern New Hampshire University (SNHU), Liberty University Online, and the University of Phoenix—has not only reshaped the American higher education landscape but also become a lucrative revenue stream for Big Tech giants like Google and Amazon Web Services (AWS). These corporations, often thought of in the context of search engines or online retail, are quietly cashing in on the transformation of higher education into a sprawling digital enterprise.

Google profits primarily through its dominant advertising platform. Robocolleges spend tens of millions of dollars annually on Google Ads, targeting prospective students through highly refined search engine marketing. When a person types “online college” or “fastest bachelor’s degree,” Google’s algorithms serve up ads from SNHU, Liberty, University of Phoenix, and similar institutions, often above organic search results. These schools bid aggressively on search terms, particularly those that resonate with working adults, single parents, and veterans—populations that are more vulnerable to misleading advertising and frequently take on large student loans with low completion rates. A 2018 New York Times report revealed that the University of Phoenix spent $27 million on Google ads in a single year. SNHU and Liberty have since increased their digital marketing budgets dramatically, much of it funneled into the Google ecosystem.

But Google’s relationship with robocolleges goes far beyond advertising. Through its YouTube platform, also part of Alphabet Inc., the company monetizes education-related content and ads aimed at vulnerable populations. Whether viewers are watching videos about job interviews or financial survival, they’re often served high-pressure ads from online universities offering "flexible" degrees with "no SAT required." These targeted promotions generate both direct revenue and valuable behavioral data, which is used to optimize future advertising and extract more profit from the education market.

Amazon Web Services (AWS), the dominant player in cloud computing, profits from robocolleges in a different but equally impactful way. The University of Phoenix, for instance, migrated its entire infrastructure to AWS, entrusting Amazon with the storage and management of its student data, financial systems, and learning platforms. This move was framed as a way to increase efficiency and reduce costs, but it also locked a major for-profit university into the AWS ecosystem, with recurring fees that scale with student enrollment and data usage. Liberty University and other online-heavy institutions have also entered cloud partnerships with AWS and its competitors, making Amazon a key stakeholder in the delivery and surveillance of digital education.

The integration of Big Tech with robocolleges isn't just about services—it's about power. These tech platforms shape who gets seen and who remains invisible. Google's search and ad algorithms essentially control the public-facing narrative of higher education, prioritizing those who pay the most, not those who offer the best outcomes. Meanwhile, Amazon’s infrastructure ensures that these institutions can operate at scale with minimal human oversight, using cloud tools to automate enrollment, course delivery, and even student monitoring.

This alliance between Big Tech and robocolleges has significant implications for students, many of whom take on large debts in pursuit of degrees that may have limited labor market value. The same students who are recruited through Google ads often end up attending classes hosted on AWS servers, their tuition dollars indirectly supporting some of the richest corporations on the planet. As regulators begin to scrutinize student outcomes and loan defaults, the role of Google and Amazon in propping up this system remains largely invisible—and unaccountable.

What we are witnessing is not just the digitization of higher education, but its full-scale commercialization, driven by two of the most powerful technology firms in the world. In this new regime, education becomes a pipeline for data extraction, ad revenue, and cloud profits—where the student is no longer the customer, but the product.

Sources:
The New York Times, “How Google Took Over the Classroom” (2017)
The Chronicle of Higher Education, “Online Education’s Marketing Machine” (2020)
The Markup, “Google Is Earning Big From Predatory For-Profit Colleges” (2020)
University of Phoenix Newsroom, “University of Phoenix Moves to AWS” (2019)
SNHU Financial Statements (2020-2023)
Liberty University Marketing Disclosures (Various)
Alphabet Inc. and Amazon.com Inc. Annual Reports (2023-2024)

Robocolleges vs. Public Universities: Debt, Dropouts, and a Fraying Future

As the landscape of American higher education continues to shift, the divide between public universities and tech-heavy “robocolleges” has grown increasingly apparent. Once promoted as affordable and innovative, robocolleges are now under scrutiny for fostering high student debt and low graduation rates.

These institutions prioritize automation, outsourcing, and marketing over traditional teaching models, often sidelining academic integrity in favor of scalability.

Comparing Outcomes: Public Universities vs. Robocolleges

Feature	Public Universities	Robocolleges (e.g., for-profit/online-heavy)
Average Student Debt	~$18,350 at graduation	~$29,000 or higher
Graduation Rates	~60% for full-time students	Often below 30%
Support Services	Academic advising, tutoring, career centers	Often outsourced or minimal
Faculty Interaction	In-person, tenured professors	Automated systems or adjuncts
Cost Efficiency	Lower tuition, especially in-state	Higher cost per credit hour
Outcomes	Better job placement and earnings potential	Mixed results, often lower ROI

Sources: National Center for Education Statistics; Higher Education Inquirer research

Who Are the Robocolleges?

The following institutions have been identified by the Higher Education Inquirer as leading examples of the robocollege model:

• Liberty University Online: A nonprofit institution with massive online enrollment and over $8 billion in federal student loan debt, especially at the graduate level.

• Southern New Hampshire University (SNHU): With more than 160,000 online students, SNHU has become a leader in automation and AI-driven instruction.

• University of Phoenix: Once the largest for-profit college, now operating as a nonprofit affiliate of the University of Idaho. It has reduced instruction and services by $100 million annually while maintaining high profits.

• Colorado Technical University (CTU): Known for its use of machine learning and data analytics to manage student advising and engagement.

• Purdue University Global: A public university operating a former for-profit model, with deep ties to Kaplan Education and significant outsourcing.

• University of Arizona Global Campus (UAGC): Formerly Ashford University, now part of the University of Arizona system. It offers accelerated online degrees with limited faculty interaction.

The Robocollege Model

These schools rely on automated learning platforms, outsourced services, and aggressive marketing to attract students—often working adults, veterans, and low-income learners. While they promise flexibility and access, critics argue they deliver shallow curricula, minimal support, and poor job placement.

The Consequences

Many students leave robocolleges with significant debt and no degree to show for it. Partnerships with Online Program Managers (OPMs) like 2U and EducationDynamics have drawn criticism for deceptive recruitment practices and inflated costs. Public confidence in higher ed is eroding, and students are increasingly seeking alternative routes to meaningful work.

What’s Next?

As tuition costs rise and outcomes falter, the Higher Education Inquirer will continue investigating whether robocolleges represent a legitimate future for learning—or a cautionary tale of commercialized education gone awry.

Failing Students by Design: Strategic Inefficiency in US Higher Education

Southern New Hampshire University isn’t the only institution quietly unraveling. Across the U.S. higher education landscape, millions of students are being failed not by accident—but by design.

Financial aid systems are convoluted. Mental health services are threadbare. Loan forgiveness programs are bureaucratic nightmares. Advising and support services are being outsourced or cut altogether. And as universities continue to raise tuition, slash labor costs, and celebrate "efficiency," it becomes increasingly clear: these aren’t unfortunate oversights. They are intentional. The failure is the strategy.

This is what scholars and critics call strategic inefficiency—the deliberate maintenance of confusing, slow, or inaccessible systems to limit responsibility and reduce costs. In other words, when students slip through the cracks, it's often because the cracks were engineered that way.

At every level of higher education, we see systems designed to frustrate and exhaust the very people they're supposed to help. Financial aid forms get lost. Transfer credits vanish. Borrower Defense claims sit idle for years. Campus disability services are underfunded and overwhelmed. Counseling waitlists stretch for months. The result is a student experience marked by delay, confusion, and denial—not because schools can’t do better, but because they choose not to.

This isn't just negligence. It is institutional betrayal. Colleges and universities advertise themselves as spaces of care, opportunity, and transformation, but then they abandon students when they are most vulnerable. The betrayal is especially cruel because it wears the mask of benevolence. The smiling brochures, the mission statements, the student-first slogans—all serve as cover for a business model that exploits rather than supports.

Meanwhile, respected voices in academia are stepping away from this battlefield. Steven Mintz’s recent farewell to Inside Higher Ed exemplifies this retreat. He chooses to move toward quieter explorations of literature, aesthetic experience, and cultural inquiry. While his Substack musings on Bob Dylan, T. S. Eliot, and the inner life of students may be intellectually rich, they avoid the urgent reality facing most people in higher education today. The house is on fire, and some of our most thoughtful voices are choosing to paint watercolors instead of sounding the alarm.

But who benefits from this design? Not students. Not faculty. Not families. The winners are university executives, educational tech vendors, loan servicers, and financiers. These stakeholders thrive in a system where services are minimal and revenues are maximized. It’s no coincidence that tuition climbs as instruction quality declines, or that the most visible innovation in higher ed is financial packaging, not pedagogical reform.

And above it all, the rich and powerful quietly reap the benefits. They need their soldiers, and underfunded community colleges and for-profit trade schools supply them. They need their sex workers, and the crushing weight of student debt pushes desperate students into survival economies, including cam work and transactional relationships. They need a compliant, credentialed workforce that is obedient, overworked, and drowning in debt—unable to organize, challenge authority, or dream of another way. What they do not need is a generation of radical thinkers or empowered critics. They do not want philosophy majors with housing security or history graduates with zero debt. They want streamlined, segmented, and indebted labor—perfectly positioned to serve, not to resist.

Higher education is not broken. It is operating exactly as designed, serving the interests of power while selling the illusion of mobility. The rhetoric of opportunity masks the machinery of extraction. Every unpaid internship, every unanswered financial aid ticket, every overwhelmed advisor is a cog in that machine.

Real reform won’t come from think pieces about ambiguity or nostalgia for the humanities. It will come from student and worker organizing. From lawsuits and public exposés. From demanding transparency and refusing to be treated as liabilities. From confronting the fact that this system is not failing. It is succeeding at doing precisely what it was built to do.

Until that truth is widely recognized, students will keep being misled, mismanaged, and monetized—by design.

The Higher Education Inquirer will continue to name that design and expose those who profit from it.

Without a Union, Expect More Layoffs: Southern New Hampshire University Employees Face Corporate Restructuring and Uncertainty

Southern New Hampshire University (SNHU), once hailed as a pioneer in online learning and educational innovation, is now facing growing unrest among employees as the institution continues down a path of corporate-style restructuring. Recent anonymous posts from internal forums reveal widespread fear, frustration, and anger following another round of layoffs—despite the university publicly celebrating its financial milestones.

“We are no longer people at SNHU—we’re financial liabilities,” one employee wrote. “Update your resumes. Prepare for the worst.”

The layoffs, reportedly targeting senior staff and long-time employees, come on the heels of previous job cuts last year—cuts that were soon followed by executive bonuses. Employees describe this tactic as a way to soften the blow while giving the remaining workforce a false sense of stability. That illusion, insiders say, is long gone.

This is no longer the institution led by Paul LeBlanc, the former president widely respected for his student- and staff-centered approach. Since the transition to President Lisa Marsh Ryerson, many employees say the university’s priorities have shifted toward financial engineering and aggressive cost-cutting.

One employee remarked, “Lisa’s mission is to operate the university like a business where dollars mean more than the people who made the university what it is. This would have never happened under Paul’s leadership.”

Even as SNHU publicly announced it had met its 6% financial growth target, more jobs were slashed—raising questions about the true motivation behind the downsizing. “Can we expect layoffs every nine months moving forward?” another asked.

A disturbing pattern is emerging: layoffs before the fiscal year closes, speculation about keeping operations just shy of the $1 billion revenue threshold, and vague communications about “regular assessments,” interpreted by employees as a euphemism for frequent cuts.

Adding to the frustration are apparent contradictions between internal messaging and actual spending. A former ITS (Information Technology Services) staffer recounted that for over a year before the layoffs began, leadership warned technical teams—especially at University Management (UM)—about “just keeping the lights on.” However, these austerity signals were contradicted by internal requests to research high-cost specialty equipment for UM ITS staff. “I guess the lights aren’t that important to her,” the employee said, referencing CF, a decision-maker believed to have pushed the tech purchases despite the budget warnings.

This kind of internal inconsistency is emblematic of the confusion and distrust now rampant among SNHU staff. Mixed signals, strategic ambiguity, and cost-cutting cloaked in business jargon have eroded morale.

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The Missing Shield: Why SNHU Workers Need a Labor Union

At the heart of SNHU’s internal crisis is the glaring absence of worker protection. Simply put: without a union, there is no defense against what’s coming next.

Layoffs. Outsourcing. Pay stagnation. Arbitrary restructuring. All of these are happening in the dark, without employee input, transparency, or any mechanism to push back. At SNHU—despite its size and influence—there is no faculty or staff union. And that leaves every worker vulnerable.

A labor union would change the power dynamics. With collective bargaining rights, employees could demand transparency in budgeting, negotiate job protections, and ensure that executive bonuses are not prioritized over staff livelihoods. Unions also provide grievance procedures, democratic voice in institutional decisions, and solidarity against exploitative management practices.

The pattern at SNHU is clear: it’s not a temporary adjustment—it’s a business model. A model that treats human beings as “cost centers” to be trimmed, regardless of their contributions or years of service.

One employee wrote, “They’re going to outsource everything they can.” Without a union, there’s little stopping that from happening.

While public university systems often have unionized faculty and staff with some degree of insulation from abrupt cuts, SNHU’s private, nonprofit status allows leadership to operate with near-total discretion. The only viable counterbalance is organized labor.

If SNHU employees want to end the cycle of fear, protect their jobs, and begin rebuilding an institution that values people, they will need more than nostalgia for past leadership—they will need solidarity, and a union to anchor it.

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The warning is clear. And the lesson is simpler still: without a union, expect more layoffs.

Layoffs at Southern New Hampshire University

Southern New Hampshire University (SNHU), long hailed as a leader in online education and a symbol of institutional reinvention, laid off approximately 60 employees on June 27, 2025. The move came without warning to staff, according to an anonymous source close to the situation.

Employees reportedly received a generic email from Lisa Marsh Ryerson, SNHU's newly installed president, delivering the news of their termination. There was no video call, no face-to-face meeting, and no meaningful explanation beyond the cold language of corporate HR.

“There was no sincerity,” the source said. “No real communication. Just a robotic email. No opportunity for questions, no acknowledgment of people’s service.”

The layoffs have sent shockwaves through the university’s workforce—many of whom had believed that SNHU’s image as a student-centered and employee-friendly institution translated into job security. That assumption, it appears, was misplaced.

SNHU, which once garnered praise from the Obama administration for its innovative online learning model, has undergone significant changes in recent years. Under the leadership of former president Paul LeBlanc, the university expanded its online programs rapidly and became one of the largest nonprofit providers of online degrees in the United States. But as the market for online education becomes increasingly competitive and enrollment pressures mount across the country, even big players like SNHU appear to be tightening their belts.

What’s striking about this latest round of cuts is not just the numbers—but the tone. At a university that prides itself on personalization and student engagement, employees describe the layoff process as abrupt, impersonal, and dehumanizing.

“They preach empathy to students,” the source noted. “But when it came to their own staff, there was none.”

It’s unclear which departments or roles were affected. SNHU has yet to issue a public statement, and no mention of the layoffs could be found on the university’s website or social media accounts at the time of publication.

The layoffs at SNHU follow broader trends in the higher education sector, where institutions—both public and private—are increasingly resorting to staff reductions amid enrollment declines, demographic shifts, and uncertain funding landscapes. But even in this context, the lack of transparency and empathy stands out.

The Higher Education Inquirer will continue to monitor developments at Southern New Hampshire University and invites current and former employees to share their experiences confidentially.

Trading Down: What the Consumer Shift Among Wealthier Americans Means for Higher Education

As higher-income Americans increasingly turn to dollar stores and secondhand outlets in search of savings, a deeper economic shift is unfolding—one with direct and underappreciated implications for colleges and universities across the United States. What some call a “quest for value” is reshaping household spending habits, even among six-figure earners. But beyond retail, this behavioral change signals a broader financial anxiety that could impact how Americans think about the costs and benefits of higher education.

The Middle Class is Feeling the Pinch

Recent data from the National Retail Federation and Moody’s Ratings show a surge in wealthier consumers “trading down”—shifting from premium brands to generics, from specialty stores to Walmart and Dollar Tree. Retail leaders from Dollar General to Academy Sports report growing traffic from households earning over $100,000. These are not the stereotypical bargain shoppers. These are families who, until recently, may have sent their children to private schools, paid sticker price for college, and viewed elite institutions as a worthwhile investment.

Now, even they are economizing. That behavior shift is not just about inflation or tariffs—it’s about eroding consumer confidence and a reassessment of value.

What Does This Mean for Higher Ed?

Higher education has long positioned itself as a high-return investment. But when middle- and upper-middle-class Americans are rethinking $4 lattes and $50 jeans, what happens when they start looking more critically at $250,000 bachelor’s degrees?

• Tuition Sensitivity Is Spreading Upmarket: Public and private colleges that once banked on full-pay students from affluent families are likely to see more pushback. Even families with significant income may seek “value” options—such as in-state public universities, community colleges, online programs, or skipping college altogether in favor of trade training or early employment.

• Elite Branding May No Longer Be Enough: Brand-name colleges—especially mid-tier private institutions without Ivy League cachet—could face new skepticism from families demanding clear ROI. Prestige alone won’t justify escalating tuition in a time when even $100K+ earners are stretching budgets.

• The Student Debt Backlash Will Grow: The federal student loan crisis has already decimated trust in the traditional college pathway. As middle- and upper-class families feel the economic squeeze, their tolerance for long-term debt may fall, increasing demand for clearer loan disclosures, more accountability, and perhaps even political action on tuition price controls.

• Donors May Reevaluate Priorities: As financial unease trickles into wealthier brackets, it could also impact giving. University advancement offices may find it harder to raise unrestricted funds, particularly from alumni who now question whether their alma mater is part of the value problem.

The End of the “Education at Any Cost” Era?

What we’re seeing now in retail—an upper-middle class retrenchment—is likely to surface in higher education in the coming enrollment cycles. Already, enrollment at community colleges and online universities like Western Governors University and Southern New Hampshire University is growing. These institutions market themselves not just as affordable, but as practical and employment-focused—offering value in a way that resonates with a cost-conscious public.

Colleges that ignore this consumer mindset shift do so at their own peril. The new American shopper is pragmatic, anxious, and increasingly unwilling to pay for prestige or tradition without a guarantee of economic return. That mindset will follow them into every financial decision—including where and whether to send their children to college.

In an era of economic uncertainty, the question many families are asking isn’t “Where can I get in?” but “What’s really worth it?”

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The Higher Education Inquirer will continue to investigate how economic shifts and consumer behavior are shaping the future of higher education—for students, families, workers, and society.

The Digital Dark Ages

In this so-called Age of Information, we find ourselves plunged into a paradoxical darkness—a time when myth increasingly triumphs over truth, and justice is routinely deformed or deferred. At The Higher Education Inquirer, we call it the Digital Dark Ages.

Despite the unprecedented access to data and connectivity, we’re witnessing a decay in critical thought, a rise in disinformation, and the erosion of institutions once thought to be champions of intellectual rigor. Higher education, far from being immune, is now entangled in this digital storm—none more so than in the rise of robocolleges and the assault on public universities themselves.

The Fog of Myth

The myths of the Digital Dark Ages come packaged as innovation and access. Online education is heralded as the great equalizer—a tool to democratize knowledge and reach underserved students. But as the dust settles, a darker truth emerges: many of these online programs are not centers of enlightenment, but factories of debt and disillusionment. Myth has become a business model.

The fantasy of upward mobility through a flexible online degree masks a grim reality. The students—often working-class professionals juggling jobs and families—become robostudents, herded through algorithmic coursework with minimal human interaction. The faculty, increasingly adjunct or contract-based, become roboworkers, ghosting in and out of online discussion boards, often managing hundreds of students with little support. And behind it all stands the robocollege—a machine optimized not for education, but for profit.

The Rise of Robocolleges

The rapid growth of online-only education has introduced a new breed of institutions: for-profit, non-profit, secular, and religious, all sharing a similar DNA. Among the most prominent are Southern New Hampshire University, Grand Canyon University, Liberty University Online, University of Maryland Global Campus, Purdue University Global, Walden University, Capella University, Colorado Tech, and the rebranded former for-profits now operating under public university names, like University of Phoenix and University of Arizona Global Campus.

These robocolleges promise convenience and career readiness. In practice, they churn out thousands of credentials in fields like education, healthcare, business, and public administration—often leaving behind hundreds of billions of dollars in student loan debt.

The Robocollege Model is defined by:

• Automation Over Education

• Aggressive Marketing and Recruitment

• High Tuition with Low Return

• Shallow Curricula and Limited Academic Support

• Poor Job Placement and Overburdened Students

These institutions optimize for profit and political protection, not pedagogy. Many align themselves with right-wing agendas, blending Christian nationalism with capitalist pragmatism, while marketing themselves as the moral antidote to “woke” education.

Trump’s War on Higher Ed and DEI

Former President Donald Trump didn’t just attack political rivals—he waged an ideological war against higher education itself. Under his administration and continuing through his influence, the right has cast universities as hotbeds of liberal indoctrination, cultural decay, and bureaucratic excess. Public universities and their faculties have been relentlessly vilified as enemies of “real America.”

Central to Trump’s campaign was the targeting of Diversity, Equity, and Inclusion (DEI) initiatives. Executive orders banned federally funded diversity training, and right-wing media amplified the narrative that DEI was a form of “reverse racism” and leftist brainwashing. That playbook has since been adopted by Republican governors and legislatures across the country, leading to:

• Defunding DEI Offices: Entire departments dedicated to equity have been dismantled in states like Florida and Texas.

• Censorship of Curriculum: Academic freedom is under siege as laws restrict the teaching of race, gender, and American history.

• Chilling Effects on Faculty: Scholars of color, queer faculty, and those doing critical theory face retaliation, termination, or self-censorship.

• Hostile Campus Environments: Students in marginalized groups are increasingly isolated, unsupported, and surveilled.

This culture war is not simply rhetorical—it’s institutional. It weakens public confidence in higher education, strips protections for vulnerable communities, and drives talent out of teaching and research. It also feeds directly into the robocollege model, which offers a sanitized, uncritical, and commodified version of education to replace the messy, vital work of civic learning and self-reflection.

The Debt Trap and Student Loan Servitude

Today, more than 45 million Americans are trapped in a cycle of student loan debt servitude, collectively owing over $1.7 trillion. Robocolleges have played a central role in inflating this debt by promising career transformation and delivering questionable outcomes.

Debt has become a silent form of social control—disabling an entire generation’s ability to invest, build, or dissent.

• Delayed Life Milestones

• Psychological Toll

• Stalled Economic Mobility

This is not just a personal burden—it is the product of decades of deregulation, privatization, and a bipartisan consensus that treats education as a private good rather than a public right.

The Dismantling of the U.S. Department of Education

Over time, and especially under Trump-aligned officials like Betsy DeVos, the U.S. Department of Education has been hollowed out, repurposed to protect predatory institutions rather than students. Key actions include:

• Rolling Back Protections for borrowers defrauded by for-profit colleges.

• Weakening Oversight of accreditation and accountability metrics.

• Empowering Loan Servicers to act with impunity.

• Undermining Public Education in favor of vouchers, charters, and online alternatives.

The result? Robocolleges and their corporate allies are given free rein to exploit. Students are caught in the machinery. And the very institution charged with protecting educational integrity has been turned into a clearinghouse for deregulated profiteering.

Reclaiming the Idea of Higher Education

This is where we are: in a Digital Dark Age where myths drive markets, and education has become a shell of its democratic promise. But all is not lost.

Resistance lives—in underfunded community colleges, independent media, academic unions, student debt collectives, and grassroots movements that refuse to accept the commodification of learning.

What’s needed now is not another tech “solution” or rebranding campaign. We need a recommitment to education as a public good. That means:

• Rebuilding and funding public universities

• Protecting academic freedom and DEI efforts

• Canceling student debt and regulating private actors

• Restoring the Department of Education as a tool for justice

• Rethinking accreditation, equity, and access through a democratic lens

Because if we do not act now—if we do not call the Digital Dark Ages by name—we may soon forget what truth, justice, and education ever meant.

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Robocolleges 2025

Overall, enrollment numbers for online robocolleges have increased as full-time faculty numbers have declined. Four schools now have enrollment numbers exceeding 100,000 students.  

Here's a breakdown of the key characteristics of robocolleges:

• Technology-Driven: Robocolleges heavily utilize online platforms, pre-recorded lectures, automated grading systems, and limited human interaction.
• Focus on Profit: These institutions often prioritize generating revenue over providing a high-quality educational experience.
• Aggressive Marketing: Robocolleges frequently employ aggressive marketing tactics to attract students, sometimes with misleading information.
• High Tuition Costs: They often charge high tuition fees, leading to significant student debt.
• Limited Faculty Interaction: Students may have limited access to faculty members for guidance and support.
• Questionable Job Placement Rates: Graduates of robocolleges may struggle to find employment in their chosen fields.

Concerns:

• Student Debt Crisis: The high tuition costs and potential for low job placement rates contribute to the student debt crisis.
• Quality of Education: The emphasis on technology and limited human interaction can raise concerns about the quality of education students receive.
• Ethical Considerations: The aggressive marketing tactics and potential for misleading students raise ethical concerns.

Here are Fall 2023 numbers (the most recent numbers) from the US Department of Education College Navigator:

Southern New Hampshire University: 129 Full-Time (F/T) instructors for 188,049 students.*
Grand Canyon University 582 F/T instructors for 107,563 students.*
Liberty University: 812 F/T for 103,068 students.*
University of Phoenix: 86 F/T instructors for 101,150 students.*
University of Maryland Global: 168 F/T instructors for 60,084 students.
American Public University System: 341 F/T instructors for 50,187 students.
Purdue University Global: 298 F/T instructors for 44,421 students.
Walden University: 242 F/T for 44,223 students.
Capella University: 168 F/T for 43,915 students.
University of Arizona Global Campus: 97 F/T instructors for 32,604 students.
Devry University online: 66 F/T instructors for 29,346 students.
Colorado Technical University: 100 F/T instructors for 28,852 students.
American Intercontinental University: 82 full-time instructors for 10,997 students.
Colorado State University Global: 26 F/T instructors for 9,507 students.
South University: 37 F/T instructors for 8,816 students.
Aspen University 10 F/T instructors for 5,195 students.
National American University 0 F/T instructors for 1,026 students

*Most F/T faculty serve the ground campuses that profit from the online schools.

Related links:

Wealth and Want Part 4: Robocolleges and Roboworkers (2024) 

Southern New Hampshire University: America's Largest Robocollege Facing Resistance From Human Workers and Student Complaints About Curriculum (2024)

Robocolleges, Artificial Intelligence, and the Dehumanization of Higher Education (2023)

AI-ROBOT CAPITALISTS WILL DESTROY THE HUMAN ECONOMY (Randall Collins, 2023)

Guild Education: Enablers of Anti-Union Corporations and Subprime College Programs (2021)

The Growth of "RoboColleges" and "Robostudents" (2019)

The Higher Education Assembly Line (2019)

HELU's Wall-to-Wall and Coast-to-Coast Report – January 2025

 

January 2025 HELU Chair’s Message This winter and spring, HELU activists are leading workshops in six states to develop platforms, advance coalitions, and share concrete, tested strategies for winning political change. I hope your union will join these opportunities so we can connect with and fortify each other. At a moment when we could go quiet and dark, we must choose to build up and out.... Read more.   Read more from Mia McIver Solidarity Asks Sign Petition to Save The Bridge Peer Counseling Center at Stanford Support LA Educators Displaced by Fires PSU-AAUP Strike Fund Announced Write a letter in support of Tufts Full-Time Lecturers Union From the HELU Blog: Why should healthcare unions join HELU? Profiteers have taken over our hospitals and put patients’ lives on the line. They are forcing the closure of hospitals that do not make a profit. Insurance companies tell us how and when to treat our patients. The corporatization of both academia and healthcare are ruining the quality of education and health respectively for many of our students and patients. Just as faculty and staff say, “Our working conditions are our students’ learning conditions,” healthcare workers say, “Our working conditions are our patients living or dying conditions.”... Read more. United Steelworkers Local 1088 is Newest HELU Member HELU keeps growing thanks to locals like 1088 who agree with our theory of change and also carry it on their workplaces to build a higher education system that works for all. Our strength and coalitional capacity increases thanks to the engagement of members within their locals carrying our strategic vision and program.... Read more.   “Alone our debts are a burden, but together they give us power.” Debt permeates nearly all aspects of today’s neoliberal higher education landscape. Our students accumulate mountains of debt while studying, and faculty labor under unpayable debt burdens which are particularly burdensome for contingent faculty, who often work multiple jobs so they can make student loan payments. The universities we teach and learn in are drowning in billions of dollars of debt owed to Wall Street.... Read more.   The NCSCBHE 2024 Directory: A Boon to Unions, Researchers and Educators The new 2024 Directory of Bargaining Agents and Contracts in Institutions in Higher Education by William A Herbert, Jacob Apkarian, and Joseph van der Naald is an excellent update of the last 2012 comprehensive directory issued by the National Center for the Study of Collective Bargaining for Higher Education and the Professions... Read more. Upcoming Events Defend the University: Lessons from Brazil & Argentina on Resisting Fascist Attacks on Higher Education Wednesday, January 29 at 8pm ET/7pm CT/6pm MT/5pm PT Universities in the United States are under conservative and neoliberal attack. The Trump administration has promised to intensify the assault on higher education. In this Jubilee School discussion, leading Argentine and Brazilian scholar-activists that have fought to defend their public universities from the Milei and Bolsonaro regimes will share lessons on how to defend higher education against fascist attacks. Register here.   Register for January 29 Coalition for Action in Higher Education: National Day of Action Organizing Call Friday, January 31 at 2pm ET/1pm CT/Noon MT/11am PT On April 17, we will hold a National Day of Action for Higher Education to assert our collective power to organize for higher education and protect the common good. Before April, we’ll be hosting a series of national organizing calls to plan the Day of Action events. Our first call is Friday, January 31, at 2pm ET/1pm CT/Noon MT/11am PT. Register here.   Register for January 31 Winning Healthcare in Minnesota and New Jersey for Contingent Faculty: Lessons from Oregon and California Wednesday, February 12 at 6pm ET/5pm CT/4pm MT/3pm PT On April 17, we will hold a National Day of Action for Higher Education to assert our collective power to organize for higher education and protect the common good. Before April, we’ll be hosting a series of national organizing calls to plan the Day of Action events. Our first call is Friday, January 31, at 2 pm ET/1pm CT/Noon MT/11am PT. Register here.   Register for February 12 Coalition for Action in Higher Education: Antisemitism, False Charges of Antisemitism, and Building Resistance Workshop Thursday, February 20 at 5pm ET/4pm CT/3pm MT/2pm PT Part of building mutual solidarities, resistance, and narratives to fight false accusations of antisemitism is through widespread political education. PARCEO will share its approach and issues it addresses in its curriculum on antisemitism from a framework of collective liberation, as well as challenges that arise. Register here.   Register for February 20 Higher ed labor in the news College athletes were ready to unionize before Trump’s election. What now? – Vox Graduate assistants at Nevada universities call for union recognition amid struggles – KUNR Students, faculty argue Portland State University’s financial sustainability plan does more harm than good – OPB Union: Faculty pay not keeping up with community college enrollment – Daily Hampshire Gazette Unions make waves across Southern California campuses, learning from each other as they go – LAist Virginia higher education workers demand legislative action at Capitol rally – Cavalier Daily Want to support our work? Make a contribution. We invite you to support HELU's work by making a direct financial contribution. While HELU's main source of income is solidarity pledges from member organizations, these funds from individuals help us to grow capacity as we work to align the higher ed labor movement. Contribute to HELU From Helena Worthen and Evan Bowman, Co-Chairs of the HELU Media & Communications Committee.