Moody’s: MOOCs may boost brand recognition

Moody’s Investors Service reported in June that massive open online courses, known as MOOCs, may have a “credit positive” effect on credit ratings for universities that offer them, according to Wired Campus blogger Sara Grossman, who writes for the Chronicle of Higher Education. More

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Moody’s: MOOCs may boost brand recognition

Posted 7/8/13

Moody’s Investors Service reported in June that massive open online courses, known as MOOCs, may have a “credit positive” effect on credit ratings for universities that offer them, according to Wired Campus blogger Sara Grossman, who writes for the Chronicle of Higher Education.

On the flip side, if a lesser-known university without a prominent brand name offers MOOCs, the program could be “credit negative” for the school, Grossman reported.

MOOCs have the potential to increase educational institutions’ global brand recognition, and create new opportunities to bring in revenue and beef up instruction methods, Grossman reports. Smaller liberal arts colleges, however, may find it hard to compete.

Being either credit positive or negative does not constitute a change in an institution’s credit rating, she noted, but rather “a comment on the potential impact” of MOOCs on a rating. Moody’s report is only available to subscribers.

Brown University last month launched the first two of three free MOOCs it plans to offer this summer. •

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