In the regulated monopolies of cable television, the consumer has little choice and gets the full bundle.  In the emerging landscape of higher education, the consumer has many choices.  From the piece-by-piece approach of DIY-U, to traditional institutions adding MOOC’s to hybrid models such as Minerva, conventional business models that depend on old-fashioned bundling are under threat.

Buying college used to be like buying cable – to get the degree you wanted, you had to buy courses, schedules and features you didn’t want.  Higher education bundling requires additional payments without direct personal benefit, just like paying for 500 TV channels when all you want are local stations, ESPN and Comedy Central.  Cable is still bundled, but the unbundling of higher education is gaining momentum.

Objective measurement of the costs and benefits of higher education will drive part of the unbundling process.  The rapidly evolving array of on-line options is enabling unbundling and fostering further pedagogical innovation and experimentation.  Employers are looking for talent beyond degrees, and accrediting organizations are not keeping up.  Many of the current full bundles will look like bad investments of time and money. Continue reading →