Getting a slice of the revenue-sharing pie is not for the faint of heart. That said, it does offer up a slew of lower-priced options for prospective students. That is to say, if you’re the type who wants to pay a fraction of the traditional tuition, you might want to check out 2U’s new online graduate program.
The best part is that 2U is a lot more transparent about its operations than many of its more publicly traded competitors. In a press release, the company outlined several notable changes, including its most recent pivot to the edX brand. In fact, the two will be amalgamated into one unit. In addition, the company has made the strategic move to make its edX programs more scalable, with a view to creating a single entity that will be the envy of the competition. This will equate to a slew of layoffs in the second half of 2022.
The aforementioned new model will entail a 10% revenue dip for the full year, but that doesn’t mean that the new model is not a step in the right direction. The aforementioned new model will also be accompanied by a series of other noteworthy changes, a major upgrade in technology, and the consolidation of its various departments into one central organization. With all of these changes in mind, it’s no wonder that the company has already rolled out its most recent earnings release. Among its most important announcements is a more streamlined operating model that will allow 2U to focus on its high-quality offerings, while allowing it to reduce its overall costs by as much as 20%. A better-defined strategy will allow 2U to capitalize on its recent gains and make it an even more compelling offer for future graduates.
In the aforementioned case, the edX name is a mouthful. But, what does the edX brand have in common with its edX counterpart? As such, the two companies can collaborate on initiatives that will benefit both parties, while at the same time preserving 2U’s reputation for providing a solid online education experience. Among other things, the edX brand can leverage the company’s network of over 8,000 online colleges and universities to offer students a more streamlined, less expensive path to an education.