Andreessen: Incumbent universities control accreditation boards to block federal funding from competitors
Marc Andreessen · The Future of the American Dream · May 20, 2024 · at 44:40
Marc Andreessen, co-founder of a16z, explains the structure of US higher education accreditation, contending that incumbent institutions act as a cartel to keep innovative alternatives out of federal funding programs.
“Guess who for those accreditation agencies, guess what they are composed of. They are composed of the incumbents. So the Northeast, you know, college, whatever accreditation council is like, literally it's board of trustees is all of the top Northeastern, you know colleges, universities in that area. And they decide whether a new college or university in that area gets It's accredited or not. And here's the kicker. If it doesn't get accredited, it has no access to federal funding. It has, which means it has no access to federal student loans. It has no access to federal anything.”
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