But this assumption misses the transformational trend. The Internet will transform education the way Henry Ford's assembly line changed automobile manufacturing. The Internet can provide standardized courses, reach global markets, allow for rapid updating with new knowledge, eliminate Ivory Tower overhead and replace tenured faculty with less costly freelancers. It used to be that if you wanted an MBA you had to live near a physical campus and pay the sticker price. Now, many educational institutions offer an amazing array of campus-free diplomas.
Consumers think that higher education costs too much and delivers too little.
On the Internet, the customer pulls the strings. Offer enough people a choice of 50 virtual MBA programs, instead of two within driving distance, and see what happens. Amazonian selection will create a commercial marketplace where one failed to exist before. Brands known for their professional certification power are now becoming universities. Stanley Kaplan, the test-preparation company owned by the Washington Post, last year opened its own virtual law school.