Michael Horn argues AI itself isn't what disrupts education, but the new business models it enables. Chegg's stock collapsed when ChatGPT threatened its tutoring model. Real transformation happens when AI combines with cheaper, more accessible approaches that let students learn and create more.
Edtech made the news recently as people saw Chegg's valuation just plummet when the CEO there disclosed that Chat GPT had really cut into its business. And people started saying, oh my goodness, what else is ChatGPT going to disrupt in education? So there's two things I think to know here. First, AI, broadly speaking, is the kernel, a technology enabler, if you will, that creates the opportunity for disruptive innovation. It's not the disruptive innovation itself, though. Disruption happens when you pair a technology enabler with a new business model that puts it in a low cost position, that dramatically expands access. So that's classic what seems to be happening with ChatGPT and the Chegg story. But the big point of that is that there's a lot of businesses, organizations, universities, schools that are going to use artificial intelligence in a sustaining way. They're going to use it to improve what they currently do, become more efficient at what they currently do. And so for the real disruptions, they're going to occur when they take that technology and pair it with a novel business model that really rethinks the system of how they accomplish education or whatever they're trying to do, and dramatically lowers cost, increases access, makes it far simpler to use. So, simply put, where should we look for AI and ChatGPT and the like to disrupt other parts of education? I think really anything that empowers students. So tutoring is a classic case. Anything that allows students to learn more, create more. Those are all ripe areas where artificial intelligence is really going to make a dent as new innovators come along and pair these things in new business models to reinvent how we think about education.
