ChatGPT’s Philosophical Thoughts About the Cost of Knowledge

Paul LeBlanc, long-time president of Southern New Hampshire University (SNHU), stepped down on June 30 to co-found and lead Human Systems, an artificial intelligence (AI) and education startup funded by SNHU.

During a recent discussion at the University of Pennsylvania, Dr. LeBlanc was asked what types of people he hires for his new venture. His answer was insightful. Dr. LeBlanc stated when he led SNHU, he hired the smartest people for open positions. With his AI company, he hires people with extremely strong curiosity traits.

Dr. LeBlanc added that the most recent hire at his new company was a philosopher. That led to a statement that companies embracing the implementation and utilization of AI models will need people with strong critical thinking skills to guide and direct the AI effectively.

I thought about many of the executives I hired over the years. Creative types were valued for marketing and sales positions. Intelligence and experience were traits emphasized for other positions. I’m certain that philosophical traits were not listed in the job descriptions posted and circulated to candidates.

One of my friends and former colleague, Dr. Frank McCluskey, is a philosopher (he earned a PhD in philosophy from The New School in New York). Dr. Frank served as our provost at APUS, a position that did not include “philosopher” in its job description. One of his books, Thoughts on Fire: Life Lessons of a Volunteer Firefighter, may have been ahead of its time.

Posing a Philosophical Question to ChatGPT

Many of my recent blog articles relate to either the affordability of higher education or artificial intelligence. While I make no claim to be a technical expert in AI, I use an AI tool like ChatGPT at least once a day.

Dr. LeBlanc’s comment about hiring a philosopher triggered an idea. What if I prompted ChatGPT to respond to a philosophical question that has been on my mind recently? The following prompts of mine and responses from ChatGPT are unedited.

Prompt 1: I have a question that requires some philosophical thinking. Are you good to do that?

ChatGPT-4o: Absolutely, I’m up for philosophical discussions! Feel free to ask your question, and we can explore it together.

Prompt 2: The Internet is the platform by which many people can access information. If nearly all of the world’s information is accessible on the internet for free, why should colleges continue to charge tens of thousands of dollars a year for students to attend?

ChatGPT-4o: This is a fascinating and deeply relevant question. The tension between the accessibility of information on the internet and the cost of higher education raises important philosophical, economic, and societal issues. Let’s unpack this:

1. Access to Information vs. Structured Learning

• Information: The internet provides access to a vast amount of information for free. However, information is not the same as knowledge. Knowledge involves understanding, critical thinking, and the ability to apply information effectively.
• Structure and Guidance: Colleges offer structured curricula, guided by experts (professors), designed to help students navigate and make sense of complex bodies of knowledge. This structured environment can be difficult to replicate solely through self-directed learning online.

2. Credentialing and Legitimacy

• A college degree serves as a credential that signals to employers and society that an individual has achieved a certain level of expertise and commitment. While the internet offers information, it doesn’t provide universally recognized credentials.
• Employers often use degrees as a proxy for skills, work ethic, and problem-solving abilities—qualities that aren’t always evident from self-taught internet learning.

3. Critical Thinking and Mentorship

• Colleges foster critical thinking and intellectual development through interaction with professors and peers. These interactions often challenge students to refine their views, consider diverse perspectives, and engage in deep learning.
• Mentorship from faculty and networking with peers and alumni are valuable aspects of college education that go beyond what the Internet can offer.

4. Experiential Learning

• College education is more than just lectures and reading; it often involves hands-on learning, labs, internships, study-abroad programs, and collaborative projects. These experiences are essential for fields like engineering, medicine, and the arts, where practical application is key.

5. Community and Social Capital

• Colleges provide a sense of community and an environment for personal growth. Students build lifelong friendships, engage in clubs, sports, and activities, and develop interpersonal skills that are harder to gain through self-directed internet learning.
• The network of alumni and connections from college often plays a critical role in career opportunities and personal development.

6. Accountability and Motivation

• Formal education provides structure, deadlines, and accountability, which can be crucial for learning. Many people struggle to stay motivated or navigate learning independently, even with access to excellent online resources.

7. Inequalities in Access and Skill

• Not everyone has the digital literacy or critical thinking skills to fully leverage the information available online. Colleges play an important role in bridging these gaps and offering equitable opportunities for advancement.

8. Reputation and Resource Access

• Colleges invest in resources that are not easily replicable online, such as state-of-the-art laboratories, libraries, research facilities, and collaborations with industries. These investments give students access to opportunities they wouldn’t have otherwise.

Is the Current Model Sustainable?

• Your question also points to a critique of the cost of higher education. While colleges do offer unique value, the high costs can create significant barriers. This has led to debates about:

• Expanding affordable or free higher education models.

• Increasing the availability of online degrees and certifications.
• Restructuring how education is financed and delivered.

A Potential Hybrid Future

As the internet continues to democratize access to information, colleges might evolve to:

• Emphasize skills development, mentorship, and experiential learning.

• Integrate online learning into their programs to reduce costs and increase flexibility.
• Collaborate with industries to align education with real-world needs.

In summary, while the internet is an incredible tool for democratizing access to information, colleges provide a comprehensive ecosystem for learning, personal development, and credentialing that the internet alone cannot yet replicate. However, the question of cost remains valid, and rethinking the affordability and accessibility of higher education is essential for its future.

My Thoughts About ChatGPT’s Response to Prompt 2

I liked ChatGPT’s response. The AI included several key points that I would have made. The quick reply (less than 30 seconds) caused me to regret not asking for sources for many of the AI’s ideas. While the organization of the ideas and issues is commendable, I would classify most of the items listed as too broad, with limitations for detailed discussion.

As a result, I pressed on.

Prompt 3: Most colleges have a business model that is oriented towards fixed costs. As a result, it is difficult to cut costs in order to adjust to lower revenues. If potential college students are attracted to lower cost colleges or other lower cost educational options, how could college leaders consider restructuring their business model in order to offer lower tuition?

ChatGPT-4o: Restructuring the business model of colleges to offer lower tuition is a complex challenge, but it is possible with a combination of innovative approaches to reduce fixed costs, diversify revenue streams, and enhance operational efficiency. Here are some strategies that college leaders could consider:

1. Leverage Technology and Hybrid Learning

• Expand Online and Hybrid Programs: Online education has significantly lower overhead costs compared to traditional in-person classes. Colleges can integrate hybrid models, combining online coursework with limited on-campus experiences, to reduce facility and operational expenses.
• Shared Resources: Partner with other institutions to share online course platforms, faculty expertise, or specialized programs, spreading fixed costs across multiple entities.

2. Optimize Faculty and Staff Structures

• Flexible Staffing Models: Shift to a mix of tenured faculty, adjuncts, and visiting professors to reduce long-term salary and benefit commitments while maintaining academic quality.

• Cross-Department Teaching: Encourage faculty to teach across multiple disciplines or collaborate on interdisciplinary courses, maximizing their impact without additional hiring.
• Administrative Efficiency: Streamline administrative layers, invest in digital tools for student services, and outsource non-core functions (e.g., IT support, dining services).

3. Revise Program Offerings

• Focus on High-Demand Fields: Prioritize programs with strong demand and good career outcomes, cutting under-enrolled or resource-intensive programs that do not align with market needs.

• Microcredentials and Certificates: Offer shorter, skill-based programs that require fewer resources while addressing workforce needs, attracting a wider audience beyond traditional degree-seeking students.
• Curriculum Simplification: Reduce the number of electives and focus on core courses to optimize resource allocation.

4. Increase Revenue Diversification

• Corporate Partnerships: Collaborate with businesses to develop training programs or research initiatives that generate additional income.

• Lifelong Learning Opportunities: Engage alumni and adult learners through professional development, continuing education, and online certification programs.

• Real Estate Optimization: Rent out campus facilities for events, conferences, or even as co-working spaces during off-peak times.
• Research Commercialization: Encourage faculty and student innovations that can be commercialized, generating licensing or royalty income.

5. Restructure Financial Aid and Tuition Models

• Income-Share Agreements (ISAs): Replace or supplement traditional tuition with ISAs, where students pay a percentage of their future income over a set period, reducing upfront costs.

• Tiered Tuition Pricing: Offer differentiated pricing based on program cost, modality (online vs. in-person), or student demographics (in-state vs. out-of-state).
• Subscription Models: Introduce a subscription-based pricing model, allowing students to pay a flat fee for access to a set number of credits per term.

6. Enhance Campus Utilization

• Year-Round Calendars: Shift to trimester or quarter systems to maximize campus usage and increase revenue by accommodating more students throughout the year.
• Dual-Enrollment Programs: Partner with high schools to offer college credits, increasing enrollment and spreading costs across more students.

7. Endowment and Fundraising Strategies

• Targeted Endowment Spending: Use endowment funds strategically to subsidize tuition or invest in cost-saving infrastructure, such as energy-efficient facilities.
• Focus on Alumni Giving: Build stronger alumni networks and tailor fundraising campaigns to specific projects, such as scholarships or program development.

8. Collaborate and Consolidate

• Consortia and Mergers: Join consortia to share resources like libraries, IT systems, or faculty for specialized programs. For smaller institutions, consider mergers to achieve economies of scale.
• Articulation Agreements: Partner with community colleges to offer lower-cost pathways, such as 2+2 programs, where students complete the first two years at a community college and transfer to complete their degree.

9. Adopt Performance-Based Budgeting

• Shift to performance-based budgeting, allocating resources to programs and departments based on measurable outcomes such as enrollment, retention, and career success. This ensures resources are used effectively and align with institutional goals.

10. Rethink Campus Infrastructure

• Downsize Underutilized Facilities: Sell or repurpose underused buildings to reduce maintenance costs.
• Sustainable Practices: Invest in renewable energy and green technologies to lower utility costs and appeal to environmentally conscious students.

Cultural Shift

Ultimately, restructuring requires a cultural shift in higher education. Colleges must embrace innovation, be willing to challenge traditional norms, and engage stakeholders—faculty, students, alumni, and community partners—in shaping a sustainable future.

This transformation is challenging but can position institutions to remain competitive in a changing educational landscape while offering lower tuition and maintaining academic excellence.

My thoughts About ChatGPT’s Response to Prompt 3

Again, the outline of the topic was good. The items listed were good, but the details for implementation were less specific. While most of the details provided included ideas for ways to cut costs and lower tuition, I was concerned about the final paragraph which appeared to emphasize focusing on the cultural shift required. That triggered another prompt.

Prompt 4: Your response to my question about restructuring college business models concluded with a final statement that “ultimately, restructuring requires a cultural shift in higher education. Colleges must embrace innovation, be willing to challenge traditional norms, and engage stakeholders – faculty, students, alumni, and community partners – in shaping a sustainable future.” I agree that a cultural shift is required for transformation. At the same time, I believe that lowering the tuition will disrupt the current financial model so substantially, that the emphasis will be on cost cutting instead of innovation. Do you have additional thoughts that could dissuade me from my opinion of the outcome?

ChatGPT-4o: Your concern is valid—lowering tuition could initially trigger a focus on cost-cutting that risks undermining innovation. However, a well-managed approach to restructuring, guided by strategic thinking and long-term goals, can align cost reduction with innovative practices. Here are some thoughts that might challenge your perspective:

1. Innovation as a Tool for Cost Efficiency

Rather than being a competing priority, innovation can drive cost efficiency:

• Technology Integration: Investments in online learning platforms and automation for administrative tasks can reduce costs while enhancing access and flexibility. For example, Southern New Hampshire University has used technology to scale affordable programs while maintaining quality.

• Shared Services: Collaborative partnerships between colleges for shared resources (e.g., libraries, IT infrastructure, faculty expertise) can lower costs without compromising quality.
• Alternative Credentialing: Offering microcredentials and stackable certificates not only meets market demand but also reduces the cost burden on students while diversifying revenue streams.

2. Revenue Diversification as a Counterbalance

Lower tuition does not mean reliance solely on cuts. Colleges can:

• Expand Non-Traditional Markets: Programs for adult learners, corporate training partnerships, and continuing education bring in additional revenue and often require fewer fixed costs.

• Capitalize on Research and Innovations: Institutions can generate income by commercializing research and intellectual property.
• Philanthropy and Endowment Growth: A strong focus on alumni engagement and targeted fundraising campaigns can mitigate revenue loss from tuition reductions.

3. Holistic Cost Management

Cost-cutting does not need to be synonymous with sacrificing quality:

• Data-Driven Decisions: Performance-based budgeting can allocate resources more effectively, ensuring that cost reductions occur in underutilized areas while preserving or enhancing core programs.
• Strategic Program Review: Phasing out low-demand, high-cost programs allows institutions to focus resources on growth areas.

4. Culture of Continuous Improvement

A focus on innovation can be embedded into the institutional culture:

• Empowered Faculty and Staff: Providing autonomy and incentives for faculty to develop innovative teaching methods and programs can inspire change.
• Student-Centered Approach: Engaging students in co-creating their educational experience fosters a more dynamic and adaptable learning environment.

5. Case Studies of Transformation

Some institutions have successfully balanced lower tuition with innovation:

• Georgia State University: By focusing on data analytics to improve student retention and graduation rates, GSU has reduced costs per graduate while increasing enrollment.
• Arizona State University: ASU has embraced a model of accessibility and innovation, using technology and partnerships to offer affordable, high-quality education.

6. Cultural Shift as a Driver of Innovation

The cultural shift necessary for restructuring can inherently lead to innovation:

• Collaboration Across Stakeholders: Engaging faculty, students, alumni, and industry partners in strategic planning can generate ideas that both reduce costs and enhance value.
• Mission Reorientation: Reframing the institution’s mission to prioritize accessibility and impact over prestige can unlock creative ways to deliver education more efficiently.

Conclusion

While cost-cutting is a natural initial reaction to lowering tuition, it does not have to dominate the transformation process. By prioritizing strategic innovation, focusing on long-term goals, and leveraging opportunities for revenue diversification, colleges can lower tuition while maintaining quality and adaptability. Your concern highlights the need for careful planning, but with the right approach, the emphasis can shift from short-term austerity to sustainable innovation.

My Thoughts About ChatGPT’s Response to Prompt 4

Again, the outline of the ideas to consider was good, but the details were less specific. While most of the details provided included ideas for ways to cut costs and lower tuition, I was concerned about the final paragraph which appeared to suggest a process that might take a decade or longer; a period that most colleges will not have to financially restructure.

I went back to the drawing board with another prompt.

Prompt 5: I have one final question. Your conclusion in your response to my previous prompt indicates that cost-cutting does not have to dominate the transformation process. I agree if the college going through transformation has a decade or more to transform. Given the rapid implementation of AI applications in businesses, it appears to me that a shorter transformation period of 3-5 years is more appropriate. How would you suggest that a college or university manage a transformation process over 3-5 years versus a decade or decades?

ChatGPT4o: Transforming a college or university within 3–5 years is ambitious but achievable with a focused, strategic approach. It requires prioritization, rapid decision-making, and a willingness to experiment and iterate. Here’s how such a transformation could be managed:

1. Establish a Clear and Compelling Vision

• Define Goals: Set specific, measurable objectives for transformation. For example, aim to reduce tuition by a certain percentage while maintaining enrollment and academic quality.

• Engage Stakeholders: Communicate the urgency of transformation to faculty, staff, students, alumni, and board members. Create buy-in by emphasizing shared benefits and the risks of inaction.
• Set a Timeline: Develop a detailed roadmap with milestones for each year, aligning short-term actions with long-term goals.

2. Adopt a Phased Approach to Transformation

• Phase 1: Immediate Actions (Year 1):

• Identify and eliminate inefficiencies (e.g., under-enrolled programs, redundant administrative processes).

• Implement cost-saving technologies, such as AI-driven administrative tools and learning platforms.

• Begin offering hybrid or online versions of popular programs to attract new student segments.

• Phase 2: Scaling Innovations (Years 2–3):

• Expand online and hybrid offerings, using lessons from initial pilots.

• Introduce microcredentialing and certificate programs that meet workforce needs.

• Foster partnerships with local businesses and industries for internships, research, and corporate training.

• Phase 3: Embedding Transformation (Years 4–5):

• Optimize resource allocation based on data from the first three years.

• Fully integrate AI and other technologies into teaching, advising, and administrative functions.
• Scale successful initiatives across the institution and use them as a model for ongoing innovation.

3. Leverage AI and Technology for Rapid Gains

• AI-Powered Efficiency:

• Use AI tools for admissions, advising, and enrollment management to streamline processes and improve student outcomes.

• Automate administrative tasks like scheduling, grading, and financial aid processing to cut costs and free up staff for higher-value work.

• Personalized Learning:

• Integrate AI-driven adaptive learning platforms to deliver tailored educational experiences that improve retention and graduation rates.

• Virtual Collaboration:
• Use virtual reality (VR) and AI-based platforms to enhance experiential learning in fields like engineering, healthcare, and design.

4. Pilot Programs with Rapid Iteration

• Start Small: Pilot new programs or initiatives with a limited group of students, departments, or faculty.
• Iterate Quickly: Use data to refine and scale successful pilots. For instance, test new pricing models, hybrid courses, or alternative credentials in one division before expanding.

5. Cultivate a Culture of Agility

• Empower Decision-Making: Create cross-functional teams with the authority to make decisions quickly and act on opportunities.

• Encourage Experimentation: Foster an environment where faculty and staff feel supported to try new approaches without fear of failure.
• Focus on Professional Development: Train faculty and staff to use new technologies and pedagogies effectively.

6. Prioritize Revenue Diversification

• Corporate and Community Partnerships:

• Collaborate with businesses to design workforce-aligned programs and certifications.

• Lease campus facilities for events, co-working spaces, or community initiatives.

• Lifelong Learning: Develop programs targeting non-traditional students, such as mid-career professionals and retirees.

• Philanthropy and Fundraising:
• Launch a focused campaign to secure funding for transformation, emphasizing the institution’s commitment to accessibility and innovation.

7. Use Data for Decision-Making

• Real-Time Analytics: Employ AI and data analytics to monitor enrollment trends, financial performance, and student outcomes, enabling rapid adjustments.
• Predictive Modeling: Use predictive tools to identify at-risk students and allocate resources effectively to improve retention.

8. Measure and Communicate Progress

• Transparent Reporting: Regularly share updates on milestones, successes, and challenges with all stakeholders.
• Celebrate Wins: Highlight early successes to build momentum and reinforce commitment to the vision.

9. Partner with External Experts

• Work with consultants, ed-tech companies, and other organizations experienced in managing rapid transformation in higher education.
• Learn from peer institutions that have undergone successful changes, such as Arizona State University or Southern New Hampshire University.

10. Ensure Financial Sustainability

• Short-Term Reserves: Use endowment funds or short-term loans strategically to cover initial investments in technology or staffing during the transition.
• Performance-Based Budgeting: Allocate resources dynamically to programs and initiatives that demonstrate strong outcomes and align with strategic goals.

Conclusion

A 3–5-year transformation requires a focus on quick wins, strategic prioritization, and leveraging AI and technology to drive efficiency and innovation simultaneously. While cost-cutting will be necessary, embedding innovation into every step of the process ensures that transformation is sustainable, scalable, and forward-looking. The urgency of such a timeline can also galvanize stakeholders to embrace change, fostering a culture that values adaptability and continuous improvement.

My Thoughts About ChatGPT’s Response to Prompt 5

I liked ChatGPT’s response to Prompt 5. You can make an argument that the outline is no more detailed than the previous responses. Perhaps it’s because I emphasized a need to implement the transformation over a shorter period, but each of the bullet points appeared to emphasize a greater sense of urgency. I did not agree with the AI’s selection of SNHU and ASU as examples of peer institutions to consult with about change. I think their changes have been commendable, but have occurred over decades, not a period of 3-5 years.

Final Thoughts

I would have enjoyed conducting this philosophical discussion with either Paul LeBlanc or Frank McCluskey. At the same time, they were not readily available when I submitted these prompts to ChatGPT. I’m not sure that all the points outlined in each of ChatGPT-4o’s responses would have surfaced, but I’m sure that the major items would have.

I’m also not sure that our human discussion would have followed the orderly pattern of my prompts (we humans have an uncanny ability to deflect discussions or take them down a different track than the questioner intended). However, I believe we would have discussed the point about 3-5 years much earlier than Prompt 5.

This is not the first time that I have used ChatGPT to facilitate a discussion with me that I published as a blog post. I posed questions about The Future of Instruction and Learning Post ChatGPT in June 2023. I also posed questions about using ChatGPT to design a Hands-on Training ChatGPT course for employees.

The model has improved its responses. I didn’t grade today’s exercise because I didn’t ask the model for its sources. However, I believe I could consolidate the responses to my prompts for a great opinion piece about why most college leaders should not wait to answer my original questions (Prompt 2 -5) about why they should continue to charge tens of thousands of dollars for knowledge that’s usually available for free.

Don’t get me wrong. I believe strongly in the value of college. I also happen to believe that many colleges are not taking the time to examine the ROI of their education experiences. I believe the longer they wait, the less time they will have to redesign their products and their business models.