In a new piece at Forbes, Todd Hixon suggests it’s time for serious reform in American higher education. I’m sure many people agree with him.

Higher Education Is Now Ground Zero For Disruption

Why? US Higher Ed has a product that does not work, ridiculous costs, and an antiquated business model. For many years we accepted this because we see extraordinary value in education. Now, most middle and upper-middle class parents find they cannot give their children the education they enjoyed. Technology has recently put a spark to this fuel: on-line education works and dramatically improves costs and access. This is a big opportunity for entrepreneurs and investors. Many new companies and programs will emerge in 2014.

The Product Does Not Work.

A college(1) degree provides multiple sources of value, but the one that motivates parents and government to dig deep for tuition is the belief that college is the ticket to upper-middle-class life. ROI calculations show a range of results (e.g.), with grads of top technical schools showing strong ROIs and those less-known liberal arts schools often doing poorly. However, results for many recent graduates are awful: one in eight recent college graduates is unemployed, and half of those employed hold jobs that do not require a college degree (more).

Employment success of graduates has not been a top priority for Higher Ed. This reflects the complex mission of colleges and universities: research/scholarship and intellectual development are key goals in addition to imparting career skills. Plus, many believe that affiliation with a great educational institution by itself creates career opportunity. This clearly works for the top 50-100 schools. Many schools below the top 100 have tried to climb the pyramid by spending more and raising fees; it’s doubtful that this will pay off for the school or its students.