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This CEO Is Creating a New Elite College Degree With Google and Microsoft -- And Offering It for Only $10,000
Khan Academy founder and CEO Sal Khan is teaming up with Google, Microsoft and McKinsey to offer students a new option for higher education. Khan announced this week that he is launching the Khan TED Institute, a new joint venture with TED and testing giant ETS. The idea is to offer an affordable, AI-focused degree that can compete with elite schools like Harvard and Stanford. "We think there are many good reasons to go to a traditional university, but not everyone has access to those opportunities," Khan said in a video announcing the program. "On top of that, the world is changing very, very, very fast. We want to make sure that there are ways even for people with traditional degrees to continue to reskill." Khan expects to launch the Khan TED Institute within the next one to two years and plans to seek accreditation as a full degree program. He aims to have a degree cost less than $10,000 total -- just a sliver of what students pay at top-tier universities, where tuition alone is headed toward over $68,000 per year at Stanford and nearly $65,000 per year at Harvard. The Khan TED Institute's first degree offering will be a Bachelor's in Applied AI, with the offerings set to expand over time, per Fortune. The coursework will be online and asynchronous, so students can set their own schedules. The program targets students from all backgrounds, whether they are recent high school graduates or mid-career professionals. "We think there are a lot of folks with existing degrees who want to reskill, who want to make sure their skills are relevant in an AI age," Khan said in the video. "So there might be something like a second Bachelor's program, with opportunity for transferring a significant number of credits if you already have a Bachelor's." He said the program could also appeal to those already in college who want to pursue a second degree relevant to their careers. According to Khan, the "competency-based" program bases the degree on the skills students can prove they've mastered, not on how many hours they spend in class. "We know there are many folks in the world who don't either have access to quality higher education or the traditional pathway might not make sense for them," Khan said. "So a competency-based pathway like what we're offering could be very interesting." For many young people, college is starting to feel like a shaky investment. Today, more than 42 million Americans carry federal student loans, and the average borrower owes nearly $40,000. At the same time, new grads are finding it harder to land solid roles. According to the Federal Reserve Bank of New York, the unemployment rate of recent college graduates is 5.6%. Meanwhile, 42.5% of recent college graduates are working in jobs that don't require college degrees. It's no surprise, then, that in one recent survey by Indeed, just over half of Gen Z graduates said they regret going to college in the first place. Khan says the new institute will close the gap between higher education and the skills needed to succeed in the workforce by building its courses in partnership with major employers like Google, Microsoft, Accenture, Bain and McKinsey. The goal is to make sure students learn the AI and technical skills companies want, alongside softer skills like collaborating with others. "This really could make a positive dent in what the world needs," Khan said in the video. "We can create a world where more people really do have access to their potential and access to opportunity."
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Khan Academy to launch AI degree under $10,000 to rival Harvard, Stanford - VnExpress International
The online education platform said the new venture, called the Khan TED Institute, is being developed with TED and testing group ETS. Founder and CEO Sal Khan said the goal is to widen access to higher education while helping people adapt to a fast-changing job market. "Higher education has served many, many people very, very well. And we think there's many good reasons to go to a traditional university, but not everyone has access to those opportunities," Khan said earlier this week, announcing the launch of Khan TED Institute, a joint venture with TED and testing organization ETS, as quoted by Fortune. He added: "On top of that, the world is changing very, very, very fast. We want to make sure that there's ways even for people with traditional degrees to continue to reskill to supplement those degrees to make sure that they are optimally prepared for an ever-changing future." The institute is expected to launch within 12 to 24 months and will seek formal accreditation for its degrees. It aims to offer a significantly lower-cost alternative to traditional programs, with tuition projected below $10,000. By comparison, tuition at Stanford is expected to reach $67,731 in the next academic year, while Harvard's stands at $62,226. Both universities rank among the top 10 globally in the QS World University Rankings by Subject 2026 for data science and artificial intelligence. The program will initially offer a bachelor's degree in applied AI, with plans to expand to other qualifications. It is designed for a broad audience, including recent graduates and mid-career professionals seeking to reskill. Earlier in February, Khan told The San Francisco Standard that he aims to create a new type of credential that could serve as an alternative to degrees from leading universities. "Just imagine something that, as opposed to $400,000, costs $5,000," he said, adding that the program would be open to anyone capable of completing it. Khan emphasized that the initiative is not intended to replace traditional universities, but to complement them by offering more flexible and accessible learning pathways aligned with workforce needs. The institute plans to work directly with corporate partners including Google, Microsoft, Accenture, Bain, McKinsey, and Replit to shape its curriculum. The program will focus on both technical AI skills and soft skills such as collaboration, creativity, communication, and community engagement. Khan said his long-term vision is to build a global institution with scalable access. "If you're capable, we have as much capacity as you need."
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Khan Academy founder Sal Khan unveils the Khan TED Institute, a joint venture with TED and ETS offering an affordable bachelor's degree in applied AI for under $10,000. The program, developed with Google, Microsoft, and McKinsey, targets students and professionals seeking technical AI skills without the financial burden of traditional universities charging over $60,000 annually.
Sal Khan, the Khan Academy founder, announced the launch of the Khan TED Institute, a groundbreaking joint venture with TED and testing organization ETS that aims to reshape access to higher education
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. The initiative promises to deliver an AI degree for under $10,000, positioning itself as a cost-effective alternative to traditional university programs where tuition alone reaches $67,731 at Stanford and $62,226 at Harvard2
. Expected to launch within 12 to 24 months, the institute will seek formal accreditation as a full degree program, making it a legitimate competitor in the higher education landscape.
Source: Entrepreneur
The Khan TED Institute distinguishes itself through direct collaboration with Google and Microsoft, alongside corporate partners including Accenture, Bain, McKinsey, and Replit
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. This partnership approach ensures the curriculum addresses workforce needs by focusing on technical AI skills that companies actively seek. The program's first offering will be a bachelor's degree in applied AI, designed to equip students with both artificial intelligence expertise and soft skills such as collaboration, creativity, and communication2
. Khan emphasized that the competency-based program evaluates students on mastered skills rather than classroom hours, allowing flexible pathways for recent high school graduates and mid-career professionals alike.The timing of this initiative reflects urgent challenges facing today's students. More than 42 million Americans carry federal student loans, with the average borrower owing nearly $40,000
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. The job market presents additional concerns, as the Federal Reserve Bank of New York reports a 5.6% unemployment rate among recent college graduates, while 42.5% work in positions that don't require college degrees. An Indeed survey revealed that just over half of Gen Z graduates regret their college decision, highlighting widespread dissatisfaction with the return on educational investment. The affordable bachelor's degree model proposed by Khan directly confronts these economic pressures by offering what he described as a credential costing $5,000 to $10,000 instead of $400,0002
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Source: VnExpress
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Sal Khan made clear that the institute doesn't aim to replace traditional universities but to complement them by providing accessible learning options
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. The coursework will be online and asynchronous, enabling students to set their own schedules while pursuing accreditation1
. Khan highlighted opportunities for those with existing degrees to reskill through a second bachelor's program with significant credit transfer options, addressing the reality that "the world is changing very, very, very fast." His long-term vision centers on building a global institution with scalable access, stating, "If you're capable, we have as much capacity as you need"2
. This approach positions the Khan TED Institute to serve diverse learners seeking relevant skills in an AI age without the prohibitive tuition costs that have made higher education increasingly inaccessible.Summarized by
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