Dive Brief:
- The University of Florida canceled its 11-year contract with Pearson last week, less than two years into the deal, and is now working to incorporate the online program into its core university operations.
- Inside Higher Ed reports the collapse of the university’s partnership with Pearson came from misaligned expectations and results, given the incredibly ambitious plans for UF Online's startup and growth.
- UF Online missed enrollment goals for out-of-state students, who had to pay more than four times as much as in-state students, causing a revenue gap and an out for the university in its contract with Pearson.
Dive Insight:
The Florida legislature gave the University of Florida just seven months to get UF Online operational, and it mandated the price disparity between in- and out-of-state students by capping in-state enrollment at 75% of residential tuition, allowing out-of-state students to be charged market rates. Pearson signed onto what could have been a very profitable long-term contract, reportedly making promises it ultimately couldn’t keep.
Some University of Florida faculty were opposed to offering entire degree programs online, including the political science department, which voted against doing so in the fall of 2014. Besides such opposition, the university will now have to decide how to allocate personnel to handle all of Pearson’s duties, including recruitment and marketing. The company also opened access to its online tutoring and course materials database through the contract.
