What Went Wrong at the Upstart School Milken Backed? - Bloomberg: "K12 Inc. (LRN) was heralded as the next revolution in schooling. Billionaire Michael Milken backed it, and former Florida governor Jeb Bush praised it. Now the online education pioneer is failing to live up to its promise. Plagued by subpar test scores, the largest operator of online public schools in the U.S. has lost management contracts or been threatened with school shutdowns in five states this year. The National Collegiate Athletic Association ruled in April that students can no longer count credits from 24 K12 high schools toward athletic scholarships...."
How dozens of failing for-profit schools found an unlikely savior: a debt collector - The Washington Post: "... “ECMC doesn’t have any experience operating an educational institution. And it’s buying an institution that is having major problems and offering a very questionable education. Is [ECMC] in a position, without any kind of experience, to improve a failing school?” said Robyn Smith, a lawyer at the National Consumer Law Center, which represents student borrowers. ECMC plans to run the schools under Zenith Education Group, a subsidiary separate from its debt collection practice. Asked whether his company was a suitable choice to acquire Corinthian campuses, ECMC President David Hawn said its experience collecting defaulted loans has given the company “firsthand understanding what coming out of school with high debt and low job prospects does to a student."...."
An interview with Sebastian Thrun. The Google X co-founder, Udacity CEO and inventor of Google's driverless car sits down with Emily Chang to explain why he has set his sights on fixing global education. (Source: Bloomberg 10/2)