AI Is Becoming an Integral Part of the Instructional Design Process — from drphilippahardman.substack.com Dr. Philippa Hardman
What I learned from 150 interviews with instructional designers

1. AI already plays a central part in the instructional design process
A whopping 95.3% of the instructional designers interviewed said they use AI in their day to day work. Those who don’t use AI cite access or permission issues as the primary reason that they haven’t integrated AI into their process.

2. AI is predominantly used at the design and development stages of the instructional design process 
When mapped to the ADDIE process, the breakdown of use cases goes as follows:

  • Analysis: 5.5% of use cases
  • Design: 32.1%
  • Development: 53.2%
  • Implementation: 1.8%
  • Evaluation: 7.3%

Speaking of AI in our learning ecosystems, also see:


Will AI Use in Schools Increase Next Year? 56 Percent of Educators Say Yes — from edweek.org by Alyson Klein

The majority of educators expect use of artificial intelligence tools will increase in their school or district over the next year, according to an EdWeek Research Center survey.

Applying Multimodal AI to L&D — from learningguild.com by Sarah Clark
We’re just starting to see Multimodal AI systems hit the spotlight. Unlike the text-based and image-generation AI tools we’ve seen before, multimodal systems can absorb and generate content in multiple formats – text, image, video, audio, etc.

 

 

Online Teaching Is Improving In-Person Instruction on Campus — from edsurge.com by Robert Ubell (Columnist)

In fact a slew of research over the past two decades has found that teaching online makes professors better teachers in their classrooms, so much so that one 2009 study recommended that “faculty should be trained in distance education methods and technologies and should be encouraged to use those methods back in the classroom.”

It’s a message I’ve been arguing for a while. But now that so many educators and students have had direct experience with online formats, it’s a narrative that seems to be sinking in.

Now is the time to fully embrace how physical classrooms can be improved by online techniques.

When professors teaching face-to-face adopt online pedagogy, the classroom is transformed into a “blended” experience, moving from conventional to active learning. And that helps students turn from passive to engaged participants in their own intellectual excursions.

 

Programs, Services, and More: A Map of CTL Tactics — from derekbruff.org

My colleagues and I at the Center for Excellence in Teaching and Learning (CETL) have been reading and discussing Mary C. Wright’s new book Centers for Teaching and Learning: The New Landscape in Higher Education (Johns Hopkins University Press, 2023). Wright identified all the centers for teaching and learning (CTLs) in the United States and then did a content analysis of their websites to see what they were all about. For someone like me, who has spent his career working in CTLs, Wright’s work is a fascinating look at my own field and how it represents itself through mission statements, listings of programs and services, and annual reports.

Also from Derek, see:

Recap: Study skills, flipped learning, and more at spring STEM teaching lunches — from umcetl.substack.com
With the final spring STEM teaching lunch coming up on March 4th, here’s a recap of what you missed at the first two lunches.

    • February 8th – Helping students learn how to learn
    • February 20th – Reconsidering class time through flipped learning
 

Using Generative AI throughout the Institution — from aiedusimplified.substack.com by Lance Eaton
8 lightning talk on generative AI and how to use it through higher education


The magic of AI to help educators with saving time. — from magicschool.ai; via Mrs. Kendall Sajdak


Getting Better Results out of Generative AI — from aiedusimplified.substack.com by Lance Eaton
The prompt to use before you prompt generative AI

Last month, I discussed a GPT that I had created around enhancing prompts. Since then, I have been actively using my Prompt Enhancer GPT to much more effective outputs. Last week, I did a series of mini-talks on generative AI in different parts of higher education (faculty development, human resources, grants, executive leadership, etc) and structured it as “5 tips”. I included a final bonus tip in all of them—a tip that I heard from many afterwards was probably the most useful tip—especially because you can only access the Prompt Enhancer GPT if you are paying for ChatGPT.


Exploring the Opportunities and Challenges with Generative AI — from er.educause.edu by Veronica Diaz

Effectively integrating generative AI into higher education requires policy development, cross-functional engagement, ethical principles, risk assessments, collaboration with other institutions, and an exploration of diverse use cases.


Creating Guidelines for the Use of Gen AI Across Campus — from campustechnology.com by Rhea Kelly
The University of Kentucky has taken a transdisciplinary approach to developing guidelines and recommendations around generative AI, incorporating input from stakeholders across all areas of the institution. Here, the director of UK’s Center for the Enhancement of Learning and Teaching breaks down the structure and thinking behind that process.

That resulted in a set of instructional guidelines that we released in August of 2023 and updated in December of 2023. We’re also looking at guidelines for researchers at UK, and we’re currently in the process of working with our colleagues in the healthcare enterprise, UK Healthcare, to comb through the additional complexities of this technology in clinical care and to offer guidance and recommendations around those issues.


From Mean Drafts to Keen Emails — from automatedteach.com by Graham Clay

My experiences match with the results of the above studies. The second study cited above found that 83% of those students who haven’t used AI tools are “not interested in using them,” so it is no surprise that many students have little awareness of their nature. The third study cited above found that, “apart from 12% of students identifying as daily users,” most students’ use cases were “relatively unsophisticated” like summarizing or paraphrasing text.

For those of us in the AI-curious bubble, we need to continually work to stay current, but we also need to recognize that what we take to be “common knowledge” is far from common outside of the bubble.


What do superintendents need to know about artificial intelligence? — from k12dive.com by Roger Riddell
District leaders shared strategies and advice on ethics, responsible use, and the technology’s limitations at the National Conference on Education.

Despite general familiarity, however, technical knowledge shouldn’t be assumed for district leaders or others in the school community. For instance, it’s critical that any materials related to AI not be written in “techy talk” so they can be clearly understood, said Ann McMullan, project director for the Consortium for School Networking’s EmpowerED Superintendents Initiative.

To that end, CoSN, a nonprofit that promotes technological innovation in K-12, has released an array of AI resources to help superintendents stay ahead of the curve, including a one-page explainer that details definitions and guidelines to keep in mind as schools work with the emerging technology.


 

Top 6 Use Cases of Generative AI in Education in 2024 — from research.aimultiple.com by Cem Dilmegani

Use cases included:

  1. Personalized Lessons
  2. Course Design
  3. Content Creation for Courses
  4. Data Privacy Protection for Analytical Models
  5. Restoring Old Learning Materials
  6. Tutoring

The Next Phase of AI in Education at the U.S. Department of Education — from medium.com by Office of Ed Tech

Why are we doing this work?
Over the past two years, the U.S. Department of Education has been committed to maintaining an ongoing conversation with educators, students, researchers, developers — and the educational community at large — related to the continuous progress of Artificial Intelligence (AI) development and its implications for teaching and learning.

Many educators are seeking resources clarifying what AI is and how it will impact their work and their students. Similarly, developers of educational technology (“edtech”) products seek guidance on what guardrails exist that can support their efforts. After the release of our May 2023 report Artificial Intelligence and the Future of Teaching and Learningwe heard the desire for more.


2024 EDUCAUSE AI Landscape Study — from library.educause.edu by Jenay Robert

Moving from reaction to action, higher education stakeholders are currently exploring the opportunities afforded by AI for teaching, learning, and work while maintaining a sense of caution for the vast array of risks AI-powered technologies pose. To aid in these efforts, we present this inaugural EDUCAUSE AI Landscape Study, in which we summarize the higher education community’s current sentiments and experiences related to strategic planning and readiness, policies and procedures, workforce, and the future of AI in higher education.


AI Update for K-16 Administrators: More People Need to Step-Up and Take the AI Bull By the Horns — from stefanbauschard.substack.com by Stefan Bauschard
AI capabilities are way beyond what most schools are aware of, and they will transform education and society over the next few years.

Educational administrators should not worry about every AI development, but should, instead focus on the big picture, as those big picture changes will change the entire world and the educational system.

AI and related technologies (robotics, synthetic biology, and brain-computer interfaces) will continue to impact society and the entire educational system over the next 10 years. This impact on the system will be greater than anything that has happened over the last 100 years, including COVID-19, as COVID-19 eventually ended and the disruptive force of these technologies will only continue to develop.

AI is the bull in the China Shop, redefining the world and the educational system. Students writing a paper with AI is barely a poke in the educational world relative to what is starting to happen (active AI teachers and tutors; AI assessment; AI glasses; immersive learning environments; young students able to start their own business with AI tools; AIs replacing and changing jobs; deep voice and video fakes; intelligence leveling; individualized instruction; interactive and highly intelligent computers; computers that can act autonomously; and more).


 

 

How This College Dropout Raised $29 Million for His Online Education Platform and Landed the Biggest Investor of All — Shaq — from entrepreneur.com by Dan Bova; via GSV
Campus founder Tade Oyerinde and investor Shaquille O’Neal discuss the debt-free mission of the online community college.

Key Takeaways

  • Campus offers two-year associate degrees with tuition costs that allow many students to go for free.
  • The online community college has garnered $29 million in investment.
  • Shaq says the company met his criteria for investment: a passionate founder, a mission to change lives and a solid exit strategy.

Colleges Were Already Bracing for an ‘Enrollment Cliff.’ Now There Might Be a Second One. — from chronicle.com by Dan Bauman; via GSV

[In addition to the decline of high school graduates starting in 2025] In recent months, however, the Census has updated its forecasts — instead of rebounding at some point in the mid-2030s, the number of 18-year-olds is now projected to contract after cresting at around 4.2 million people in 2033, shrinking to around 3.8 million by 2039. After that, the Bureau doesn’t anticipate the population of 18-year-olds will exceed 4 million people in any year this century.


How this Vietnam vet started a college program at a desert prison — from opencampusmedia.org; an essay by James “Sneaky” White as told to Charlotte West.

James “Sneaky” White, 80, spent nearly four decades incarcerated in California. His nickname “Sneaky” comes from his days as a helicopter pilot during the Vietnam War. While he was incarcerated, he helped create a college program that has since graduated more than 1,500 men. In this “as told to” story, he shares how he started a college program for veterans at a desert prison.


Virtual Forum – On Demand
Starting a Program for Incarcerated Students — from chronicle.com by Charles B. Adams, Ruth Delaney, and Laura Massa; via Goldie Blumenstyk

Does your institution have programming in place for incarcerated students? Thanks to new federal assistance, students in many prisons can now take college courses for credit. While colleges are interested in starting or expanding programs to serve those students, they often have no idea how to do so.


 

Digital Learning Pulse Survey Reveals Higher-Ed Unprepared for Expected Impact of AI — from prnewswire.com by Cengage
Research illustrates that while GenAI could ease ongoing challenges in education, just 1 in 5 say their school is ready

WASHINGTONFeb. 6, 2024 /PRNewswire/ — While three-quarters of higher-education trustees (83%), faculty (81%) and administrators (76%) agree that generative artificial intelligence (GenAI) will noticeably change their institutions in the next five years, community college trustees are more optimistic than their community college counterparts, with (37%) saying their organization is prepared for the change coming compared to just 16% of faculty and 11% of administrator respondents.

Those findings are from the 2023-2024 Digital Learning Pulse Survey conducted by Cengage and Bay View Analytics with support from the Association of Community College Trustees (ACCT), the Association of College and University Educators (ACUE), College Pulse and the United States Distance Learning Association (USDLA) to understand the attitudes and concerns of higher education instructors and leadership.

From DSC:
It takes time to understand what a given technology brings to the table…let alone a slew of emerging technologies under the artificial intelligence (AI) umbrella. It’s hard enough when the technology is fairly well established and not changing all the time. But its extremely difficult when significant change occurs almost daily. 

The limited staff within the teaching & learning centers out there need time to research and learn about the relevant technologies and how to apply those techs to instructional design. The already stretched thin faculty members need time to learn about those techs as well — and if and how they want to apply them. It takes time and research and effort.

Provosts, deans, presidents, and such need time to learn things as well.

Bottom line: We need to have realistic expectations here.


AI Adoption in Corporate L&D — from drphilippahardman.substack.com by Dr. Philippa Hardman
Where we are, and the importance of use cases in enabling change

At the end of last year, O’Reilly Media published a comprehensive report on the adoption and impact of generative AI within enterprises.

The headline of the report is that we’ve never seen a technology adopted in enterprise as fast as generative AI. As of November 2023, two-thirds (67%) of survey respondents reported that their companies are using generative AI.

However, the vast majority of AI adopters in enterprise are still in the early stages; they’re experimenting at the edges, rather than making larger-scale, strategic decisions on how to leverage AI to accelerate our progress towards org goals and visions.

The single biggest hurdle to AI adoption in large corporates is a lack of appropriate use cases.

 

The Teaching and Learning Workforce in Higher Education, 2024 — from library.educause.edu by Nicole Muscanell


Opinion: Higher-Ed Trends to Watch in 2024 — from govtech.com by Jim A. Jorstad
If the recent past is any indication, higher education this year is likely to see financial stress, online learning, a crisis of faith in leadership, emerging tech such as AI and VR, cybersecurity threats, and a desperate need for skilled IT staff.

 “We’re in the early stages of creating a new paradigm for personalized assessment and learning; it’s critical for moving the field forward … It’s supporting teachers in the classroom to personalize their teaching by using AI to provide feedback for individual learners and pointing in the direction where students can go.”


PROOF POINTS: Most college kids are taking at least one class online, even long after campuses reopened — from hechingerreport.org by Jill Barshay
Shift to online classes and degrees is a response to declining enrollment

The pandemic not only disrupted education temporarily; it also triggered permanent changes. One that is quietly taking place at colleges and universities is a major, expedited shift to online learning. Even after campuses reopened and the health threat diminished, colleges and universities continued to offer more online courses and added more online degrees and programs. Some brick-and-mortar schools even switched to online only.


College Affordability Helped Drive Rise in State Support for Higher Ed — from chronicle.com by Sonel Cutler

State support for higher education saw a significant jump this year, rising more than 10 percent from 2023 — even though the share of that money provided by the federal government dropped 50 percent.

That’s according to the annual Grapevine report released Thursday by the State Higher Education Executive Officers Association, or SHEEO. The data reflect a continued upward trajectory for state investment in higher education, with a 36.5-percent increase in support nationally over the last five years, not adjusted for inflation.


 

 

Augment teaching with AI – this teacher has it sussed… — from donaldclarkplanb.blogspot.com by Donald Clark

Emphasis (emphasis DSC):

You’re a teacher who wants to integrate AI into your teaching. What do you do? I often get asked how should I start with AI in my school or University. This, I think, is one answer.

Continuity with teaching
One school has got this exactly right in my opinion. Meredith Joy Morris has implemented ChatGPT into the teaching process. The teacher does their thing and the chatbot picks up where the teacher stops, augmenting and scaling the teaching and learning process, passing the baton to the learners who carry on. This gives the learner a more personalised experience, encouraging independent learning by using the undoubted engagement that 1:1 dialogue provides.

There’s no way any teacher can provide this carry on support with even a handful of students, never mind a class of 30 or a course with 100. Teaching here is ‘extended’ and ‘scaled’ by AI. The feedback from the students was extremely positive.


Reflections on Teaching in the AI Age — from by Jeffrey Watson

The transition which AI forces me to make is no longer to evaluate writings, but to evaluate writers. I am accustomed to grading essays impersonally with an objective rubric, treating the text as distinct from the author and commenting only on the features of the text. I need to transition to evaluating students a bit more holistically, as philosophers – to follow along with them in the early stages of the writing process, to ask them to present their ideas orally in conversation or in front of their peers, to push them to develop the intellectual virtues that they will need if they are not going to be mastered by the algorithms seeking to manipulate them. That’s the sort of development I’ve meant to encourage all along, not paragraph construction and citation formatting. If my grading practices incentivize outsourcing to a machine intelligence, I need to change my grading practices.


4 AI Imperatives for Higher Education in 2024 — from campustechnology.com by Rhea Kelly

[Bryan Alexander] There’s a crying need for faculty and staff professional development about generative AI. The topic is complicated and fast moving. Already the people I know who are seriously offering such support are massively overscheduled. Digital materials are popular. Books are lagging but will gradually surface. I hope we see more academics lead more professional development offerings.

For an academic institution to take emerging AI seriously it might have to set up a new body. Present organizational nodes are not necessarily a good fit.


A Technologist Spent Years Building an AI Chatbot Tutor. He Decided It Can’t Be Done. — from edsurge.com by Jeffrey R. Young
Is there a better metaphor than ‘tutor’ for what generative AI can do to help students and teachers?

When Satya Nitta worked at IBM, he and a team of colleagues took on a bold assignment: Use the latest in artificial intelligence to build a new kind of personal digital tutor.

This was before ChatGPT existed, and fewer people were talking about the wonders of AI. But Nitta was working with what was perhaps the highest-profile AI system at the time, IBM’s Watson. That AI tool had pulled off some big wins, including beating humans on the Jeopardy quiz show in 2011.

Nitta says he was optimistic that Watson could power a generalized tutor, but he knew the task would be extremely difficult. “I remember telling IBM top brass that this is going to be a 25-year journey,” he recently told EdSurge.


Teachers stan AI in education–but need more support — from eschoolnews.com by Laura Ascione

What are the advantages of AI in education?
Canva’s study found 78 percent of teachers are interested in using AI education tools, but their experience with the technology remains limited, with 93 percent indicating they know “a little” or “nothing” about it – though this lack of experience hasn’t stopped teachers quickly discovering and considering its benefits:

  • 60 percent of teachers agree it has given them ideas to boost student productivity
  • 59 percent of teachers agree it has cultivated more ways for their students to be creative
  • 56 percent of teachers agree it has made their lives easier

When looking at the ways teachers are already using generative artificial intelligence, the most common uses were:

  • Creating teaching materials (43 percent)
  • Collaborative creativity/co-creation (39 percent)
  • Translating text (36 percent)
  • Brainstorming and generating ideas (35 percent)

The next grand challenge for AI — from ted.com by Jim Fan


The State of Washington Embraces AI for Public Schools — from synthedia.substack.com by Bret Kinsella; via Tom Barrett
Educational institutions may be warming up to generative AI

Washington state issued new guidelines for K-12 public schools last week based on the principle of “embracing a human-centered approach to AI,” which also embraces the use of AI in the education process. The state’s Superintendent of Public Instruction, Chris Reykdal, commented in a letter accompanying the new guidelines:


New education features to help teachers save time and support students — from by Shantanu Sinha

Giving educators time back to invest in themselves and their students
Boost productivity and creativity with Duet AI: Educators can get fresh ideas and save time using generative AI across Workspace apps. With Duet AI, they can get help drafting lesson plans in Docs, creating images in Slides, building project plans in Sheets and more — all with control over their data.

 

Unlocking productivity and personalizing learning with AI — from educationblog.microsoft.com by Microsoft Education Team

Today, we’re announcing the next wave of AI innovations from Microsoft Education that will help unlock productivity and personalize learning. This includes expanded Copilot for Microsoft 365 availability and Loop coming to education. We’re also sharing news about AI built for education such as Reading Coach and features designed to free up time for educators and personalize learning. As part of our continued work to build AI literacy, we’ve launched our latest course for educators and a new learning path on Microsoft Learn. And earlier this week we outlined Microsoft’s position and themes for policymakers to consider around advancing youth online safety and wellness.

With the latest AI technology, we have an opportunity to provide learners with personalized, engaging, and transformative reading experiences. Reading Coach, a Learning Accelerator now powered by generative AI, does just that. You can sign up for a preview of Reading Coach today and try it for yourself at coach.microsoft.com.


Recap: Winter AI Institute for Teachers — from umcetl.substack.com

Last week, CETL partnered with the Department of Writing and Rhetoric to offer a second iteration of the AI Institute for Teachers to an audience of UM instructors from across disciplines. Nearly 60 faculty from 26 different departments and schools attended the three-day event. In a wide variety of interactive sessions designed by Institute leader Marc Watkins, participants examined the impact of generative AI on teaching and learning, working in small groups to consider how to approach AI in their own disciplines.

If you’re not a UM faculty member or couldn’t attend the sessions, we have good news! All the materials from the Institute are publicly available at the following links:

And we’ve written a short recap of the Institute here.


Learn with AI from U Maine

Learn with AI — from the University of Maine

Rather than try to ban this technology from classrooms outright, the Learning With AI project asks if this moment offers an opportunity to introduce students to the ethical and economic questions wreaked by these new tools, as well as to experiment with progressive forms of pedagogy that can exploit them.

 

Make class prep easy with 8 flexible prompts for retrieval practice — from retrievalpractice.org by Pooja K. Agarwal, Ph.D.

Here are 8 flexible prompts you can customize for your students:

  • What would you like to remember about [topic]? Why is this important to you?
  • What was really memorable for you about [topic]? Why did it stand out to you?
  • What is one thing that’s surprising or confusing to you about [topic]?
  • What is one thing I didn’t ask you about [topic] that you learned?
  • What is an example of [topic] from your own life?
  • …plus three others
 
 

K12 District-Level Perspectives on AI — from aiforeducation.io by Amanda Bickerstaff, Dr. Patrick Gittisriboongul, Samantha Armstrong, & Brett Roer

Want to know how K12 schools are navigating the adoption of AI and what district-level leaders really think about GenAI EdTech tools?

Join us for this free webinar where we discussed AI technology, literacy, training, and the responsible adoption of GenAI tools in K12. Our panel explored what is working well – and not so well – across their districts from a school leader and practitioner’s perspective.


ChatGPT Has Changed Teaching. Our Readers Tell Us How. — from chronicle.com by Beth McMurtrie and Beckie Supiano

Those vastly different approaches to college writing pretty much sum up the responses to generative AI: They’re all over the map.

One year after its release, ChatGPT has pushed higher education into a liminal place. Colleges are still hammering out large-scale plans and policies governing how generative AI will be dealt with in operations, research, and academic programming. But professors have been forced more immediately to adapt their classrooms to its presence. Those adaptations vary significantly, depending on whether they see the technology as a tool that can aid learning or as a threat that inhibits it.

Nearly 100 faculty members shared their stories. While not a representative sample, they teach at a wide range of institutions: 15 community colleges, 32 public and 24 private four-year colleges or universities, seven international institutions, and one for-profit college. They teach a variety of subjects, including animal science, statistics, computer science, history, accounting, and composition. Many spent hours learning about AI: enrolling in workshops and webinars, experimenting with the tools, and reading articles, so that they could enter the fall semester informed and prepared.


The Disruption of AI in CTE Is Real — from techlearning.com by Annie Galvin Teich
An ACTE expert panel urges CTE educators to jump on the AI train as it’s already left the station

10 Best Practices for AI and CTE 

  1. Embrace AI and use it first for simple tasks to create efficiencies. Then use it to individualize instruction and for formative assessment tools aligned to standards.
  2. Be creative and conscious of internal bias and ethics. Focus on DEI and access.
  3. Encourage students to use apps and tools to start moving toward an integrated curriculum using AI.
  4. Prepare students for jobs of the future by partnering with industry to solve real problems.
  5. …and others

How are universities responding to generative AI? — from medium.com by Nic Newman
What’s next for higher education as we enter a new wave of edtech innovation: AI-powered learning

Where will AI make a big difference?
At Emerge, we have identified eight high-level trends — what we’re calling “engines of opportunity”. These eight “engines of opportunity” capture our ideas about how AI is being used to drive better practice and outcomes in HE, now and into the future.

They fall into two main categories:

  • Making learning more engaging: solutions that scale high quality pedagogy at low cost.
  • Making teaching more efficient: solutions that save educators and organisations time and money.

 

Tips on making professional-looking, engaging videos for online courses — from timeshighereducation.com by Geoff Fortescue
Making videos for online classes doesn’t have to be costly. Here are ways to make them look professional on a budget

During lockdown, we were forced to start producing videos for Moocs remotely. This was quite successful, and we continue to use these techniques whenever a contributor can’t come to the studio. The same principles can be used by anyone who doesn’t have access to a media production team. Here are our tips on producing educational videos on a budget.

 

Nearly half of companies say they plan to eliminate bachelor’s degree requirements in 2024 — from highereddive.com by Carolyn Crist
Many employers are dropping degree requirements to create a more diverse workforce and increase job candidate numbers, survey results show.

Forty-five percent of companies plan to eliminate bachelor’s degree requirements for some positions in 2024, according to a Nov. 29 report from Intelligent.com.

In 2023, 55% of companies removed degree requirements, particularly for entry-level and mid-level roles, the survey shows. Employers said they dropped these requirements to create a more diverse workforce, increase the number of applicants for open positions and because there are other ways to gain skills.


Fitch Ratings issues deteriorating outlook for higher ed in 2024 — from highereddive.com by Natalie Schwartz
The credit ratings agency cited high labor and wage costs, elevated interest rates and uneven enrollment gains across the sector.

Dive Brief:

  • Fitch Ratings issued a deteriorating outlook Monday for U.S. colleges and universities in 2024, citing high labor and wage costs, elevated interest rates and uneven enrollment gains across the sector.
  • These challenges will limit colleges’ financial flexibility next year, according to the credit ratings agency. Moreover, Fitch analysts expect only a 2% to 4% uptick in colleges’ net tuition revenue and said tuition increases likely cannot counter rising operating expenses.
  • The outlook expects the divide to grow between large selective colleges and their smaller, less selective counterparts. “Flagship schools and selective private institutions are expected to experience relatively steady to favorable enrollment, while some regional public institutions and less-selective private schools in competitive markets have experienced declines,” according to the analysis.

Credit rating agencies split on higher ed outlook in 2024 — from highereddive.com by Jeremy Bauer-Wolf
S&P argues economic conditions will stress regional institutions, though Moody’s says the sector is stable overall.

Dive Brief:

  • Two credit rating agencies are somewhat divided in their outlooks for U.S. higher education in 2024, with one arguing the sector has stabilized, while the other forecasts tough economic conditions for less selective, regional colleges.
  • Revenue growth from sources like tuition and state funding looks promising, Moody’s Investors Service argued in an analysis Thursday. S&P Global Ratings, however, said Thursday that only highly selective institutions will enjoy student demand and healthy balance sheets. Their less selective counterparts face enrollment declines and credit pressures in turn, S&P said.
  • Both organizations agreed that labor shortages and similar challenges will squeeze colleges next year. Higher ed is contending with a boom in union activity, while widespread faculty tenure “remains a unique sector risk, limiting budget and operating flexibility,” Moody’s said.

 

 
© 2024 | Daniel Christian