The CHLOE 10 report, released by EDUCAUSE, Quality Matters and Eduventures, offers a snapshot of where online higher education is headed. And more importantly, it highlights headwinds that could leave unprepared institutions struggling to keep pace.

The report surveyed 257 chief online learning officers (COLOs) from U.S. colleges and universities across various institution types.  

Competition in Online Learning Is Intensifying

Eighty percent of COLOs surveyed report that the online marketplace is more competitive than it was five years ago.  

More institutions are entering the online space, corporate partnerships are expanding, and alternative providers are offering new models for learners.

Bar chart showing percentages of COLOs who say the online program marketplace has become more competitive, comparing CHLOE 2 and CHLOE 10, with sharp increases across all institution types.
The majority of COLOs report that the online program marketplace is more competitive than five years ago, with the steepest increases seen in private four-year and community college sectors.

CHLOE 10 also notes that institutions are responding by expanding nondegree pathways and experimenting with delivery models such as hybrid, accelerated and AI-supported instruction.

Faculty Readiness Shapes Online Teaching Success

The CHLOE 10 report highlights uneven faculty readiness for online and AI-driven instruction. While some institutions are investing heavily in training, others lag behind. Faculty buy-in, workload pressures and limited professional development are persistent barriers.

For higher education leaders, investing in faculty capacity now is one of the most effective ways to ensure sustainable program growth.

Stacked bar chart comparing faculty readiness for using LMS, teaching online courses and designing online courses, showing most faculty are "working to improve" but less than half are "fully prepared."
Fewer than half of institutions report that faculty are fully prepared to teach online or design online courses, underscoring ongoing challenges with scaling online instruction.
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AI in Higher Education Moves From Pilots to Strategy

Only 23% of institutions surveyed report having a unified strategy for AI adoption. Most are experimenting in pockets — using AI for tutoring, assessment or course design — but few have an integrated plan.

Pie chart showing distribution of institutional AI strategies: 23% institution-wide, 66% partial or unit-level strategies and 9% reporting no strategy.
Only 23% of institutions report having an institution-wide AI strategy, while most describe fragmented approaches limited to certain units or departments.

Students are already using AI tools for study and support, whether institutions are ready or not. CHLOE 10 found that only 23 percent of colleges have an institution-wide AI strategy.

Texas State University is an example of how institutions can close that gap. The university’s Center for Teaching and Learning created resources to help faculty understand, experiment with and integrate AI into their courses, combining professional development with policy guidance.

Nondegree Pathways Expand Opportunities for Learners

CHLOE 10 shows that nondegree and alternative credentials are accelerating, with 65% of institutions now offering them, up from just 29% in 2019.

Bar chart comparing CHLOE 3 (2018-19) and CHLOE 10 (2024-25) showing dramatic increases in institutional investment in nondegree offerings, from 29% to 65%.
Institutional investment in nondegree and alternative credentials has more than doubled since 2019, with major investments quadrupling to 15%.
The University of Cincinnati College of Nursing illustrates this shift with new microcredential programs in leadership, informatics, and patient care. These flexible, stackable offerings help professionals gain targeted skills without committing to a full degree.

How Higher Education Leaders Can Respond Now

The CHLOE 10 report is a reminder that digital learning strategy is not just about technology. For higher education leaders, next steps to consider include:

  • Adopt a competitive mindset. Online education is no longer a side strategy.
  • Expand credential pathways. Meet learners where they are with stackable, flexible options tied to workforce demand.
  • Develop an AI strategy. Move from scattered pilots to institution-wide integration.
  • Invest in faculty readiness. Faculty development is the linchpin of quality online and hybrid education.
EIM offers a 24-week program featuring a 10-module workshop plus a 4-week hands-on practicum designed for health care educators through our Certification in Hybrid Learning.

CHLOE 10 Takeaways

CHLOE 10 highlights pressures that intersect across higher education: rising competition, uneven faculty readiness, limited AI strategies and rapid growth in nondegree programs.

  • Competition requires programs to differentiate on delivery and outcomes, not just reputation.
  • Faculty readiness determines how quickly institutions can scale high-quality hybrid or online models.
  • Limited AI strategy leaves students experimenting independently while universities lag in policy and support.
  • Nondegree growth signals that learners and employers want shorter, workforce-focused credentials.

Together, these findings show why enrollment, workforce planning and digital strategy cannot be treated separately.

The future will favor institutions that act boldly. Online learning trends, nondegree pathways and AI are not distractions from the core mission of higher education, they are the next stage of it.  

For leaders ready to align admissions, innovation and workforce strategy, the time to act is now.