It’s an exciting week for higher education as we learned that Fall 2024 enrollment has rebounded to pre-pandemic levels! 🎉 In this week’s issue, we explore the key factors driving this growth and what it means for the future. Next, we discuss how institutions can prepare for mergers and acquisitions in the edtech sector, before closing with an analysis of the risks and benefits of AI in higher education.  

After reading today’s issue, use the comments section to share how your institution is planning to navigate shifts in the edtech sector. 

First-year Enrollment Surged 

From A Stunning Enrollment Surge | Inside Higher Ed  

According to a recent National Student Clearinghouse report, first-year enrollment grew a staggering 5.5% in Fall 2024.   

Our Thoughts 

This is truly astounding! It challenges the prevailing narrative of enrollment decline and highlights the evolving landscape of postsecondary education. This report not only corrects a major methodological error but also offers a more optimistic outlook on higher education’s post-pandemic recovery. With enrollment surpassing pre-COVID levels for the first time and showing significant growth in alternative credential programs, community colleges, and less selective institutions, this data indicates a shift in how students engage with higher education.  

The fact that financial aid expansions, particularly Pell Grant eligibility, may have contributed to this increase is a crucial insight for policymakers and institutional leaders seeking to boost access and retention. Additionally, the rise of dual enrollment programs and the resurgence of community college enrollments suggest a shifting student profile. This may indicate a growing demand for more flexible, workforce-aligned programs. In short, this article underscores the need for higher education leaders to remain agile, data-driven, and open to reassessing long-held assumptions as new trends emerge. 

Edtech Provider Acquisition Survival Guide  

From Surviving an Edtech Provider’s Acquisition: Advice for Higher Education IT Professionals | EDUCAUSE Review  

Higher education IT professionals must navigate rapid innovation, competition, and frequent corporate restructuring in the commercial technology sector to ensure the continuity of the systems and services at their institutions.   

Our Thoughts 

Regular readers know I appreciate articles that go beyond background information to offer actionable steps for institutions. This recent EDUCAUSE article does just that, emphasizing the critical role of strategic planning in an increasingly volatile edtech landscape. The rapid pace of mergers, acquisitions, and corporate restructuring in the sector can have significant consequences for institutions that rely on these technologies for learning management, student information systems, and other core services. Without proactive planning, institutions risk service disruptions, unexpected costs, and heightened data security vulnerabilities.  

Given the sector’s ongoing digital transformation, IT leaders must develop flexible, diversified, and resilient IT infrastructures to protect their institutions from unpredictable market shifts.  

Beyond the technical considerations, this article situates IT strategy within the broader challenges facing higher education. With enrollment fluctuations, financial pressures, and growing competition from alternative credential providers, institutions cannot afford a reactive approach to technology investments. Instead, IT professionals must collaborate with institutional leaders to align technology planning with strategic priorities, ensuring that edtech solutions enhance institutional agility rather than become liabilities. This piece provides a roadmap for mitigating risks, ranging from vendor diversification to strengthening internal IT capabilities. At a time when technology is a cornerstone of institutional success, this article serves as both a wake-up call and a toolkit for navigating an uncertain digital future in higher education. 

Risks and Benefits of Generative AI 

From College Leaders Are Divided on the Risks and Benefits of Generative AI | The Chronicle of Higher Education  

A new survey from American Association of Colleges and Universities shows divisions about whether AI’s impacts will be more positive or negative for institutions.  

Our Thoughts  

Much like the responses to this survey, I am also torn on the benefits and risks of AI integration in education. I worry that AI, as it currently functions, is a house of cards waiting to collapse. As Ed Zitron points out, “To be abundantly clear, as it stands, OpenAI currently spends $2.35 to make $1,” which hardly seems like a sustainable business model.  

That said, we’re at a critical juncture. By ignoring AI entirely, higher ed would risk falling behind, not just in pedagogy but also in workforce alignment, as industries increasingly expect graduates to be AI-fluent. AI literacy may soon become a fundamental skill (unless the technology collapses first) and institutions that hesitate to act now may struggle to catch up. The challenge for higher education is to embrace AI thoughtfully, balancing innovation with caution to ensure it enhances learning rather than undermines it.