An article from Sponsored Higher ed is at a crossroads — will AI and digital learning lead the way? Published March 17, 2025

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Rising tuition rates, an evolving job market and an increasing emphasis on real-world experience over traditional credentials have led many students to question whether a college degree is truly worth the investment. High costs have students considering cost-cutting measures in greater numbers, and many worry they won’t earn a salary that justifies the price. 

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A recent survey by AYTM on behalf of VitalSource explored these sentiments and found that only 34% of students rate the value of a higher education degree as "high," despite projections that 72% of jobs will still require postsecondary education by 2031.

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The research, which evaluated responses from over 1,000 U.S.-based respondents currently or recently enrolled in higher education courses, is the basis for a newly published report, “Digital Tools and the Modern Learner,” which highlights notable findings and insights. Overwhelmingly, the expense of higher education is seen as burdensome, according to 82% of respondents who are moderately to extremely concerned about the overall cost of postsecondary academic experiences.

An evaluation of the impacts of today’s learning environment on the perceived value of higher education indicates students are open to change. Institutions looking to drive that change and meet the expectations of modern learners must prioritize affordability, accessibility and career readiness. One of the most effective ways to achieve this is through the integration of digital learning tools and artificial intelligence (AI) powered education technologies, which are transforming learning experiences and helping institutions stay relevant in a rapidly changing landscape.

Permission granted by VitalSource   Growing Skepticism on Both Sides of the Learning-Hiring Equation

Today’s students face unprecedented challenges. With tuition rates steadily climbing, many students now work part-time or full-time jobs while maintaining rigorous academic schedules, adding layers of time pressure. Additionally, the job market increasingly prioritizes hands-on experience and technical skills, indicating that a degree alone may not be enough.

Employers reinforced this possibility by pointing to a significant skills gap — 58% of hiring managers say new graduates lack the professional acumen needed to succeed in today’s workplace.

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Awareness of employers' concerns only adds to the growing uncertainty among college students already questioning the value of a degree. Higher education institutions now face a considerable challenge in proving that a degree is still the key to opportunity and career growth. It will require a strategically balanced offering of cost-saving measures and enhanced career preparation tactics to align education with workforce demands. In response to these challenges, institutions are exploring new ways to deliver value to students, including the use of digital learning tools.

The Rise of Digital Learning Tools

Providing immediate value through access to innovative e-learning resources will help to reshape the academic experience. Solutions that are affordable, flexible and synchronized with the needs of today’s workforce are increasingly common and highly valued by students. In fact, among students enrolled in classes over the past two years, 13% now prefer enhanced digital textbooks — up from 7% of those enrolled in 2022 or earlier.

Not only are digital tools cheaper than physical alternatives, but they also often include enhanced features like interactive activities and adaptive learning experiences. Additionally, digital-first education models mirror today’s workplaces, where most industries now require fluency in online collaborations, data analysis tools and cloud-based platforms. Institutions that provide these tools help students transition smoothly into careers by building practical skills beyond coursework.

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Once seen as a futuristic concept, artificial intelligence is now transforming how students learn. From automating mundane tasks like note-taking to providing targeted, real-time feedback, AI is adding layers of personalization and efficiency to education like never before.

Rapid adoption of AI-powered tools, such as test-prep platforms and adaptive tutors, is under way. Among surveyed students enrolled since 2023, 61% have used AI in their coursework, and 48% believe it has improved their learning experience. Nearly 65% of users report AI expedites the completion of coursework, while 58% say it increases clarity.

Whether it's through generating creative ideas, managing workloads or improving academic outcomes, AI is equipping students with the tools to succeed. The technology’s ability to tailor learning to an individual’s strengths and weaknesses creates immense value for those with diverse learning preferences and needs – as well as the employers who may one day hire them.

How Institutions Can Leverage AI and Digital Learning for Success

The integration of digital tools and AI within higher education isn’t just a trend — it’s a necessity. Institutions that adapt now will be better positioned to engage students, deliver measurable improvements in learning outcomes and maintain enrollment. Strategic recommendations can help guide colleges and universities looking to implement these technologies:

• Set Clear AI Policies: Establish guidelines to define the ethical and responsible usage of AI tools in academic environments.
• Encourage Faculty Adoption: Faculty buy-in is crucial. Educators should feel confident using AI to enhance both teaching methods and student engagement.
• Partner with Trusted Providers: Collaborate with EdTech companies that specialize in AI-based solutions, offering resources built on learning science instead of generic technologies and promise accountability, transparency, and efficacy.
• Focus on Accessibility: Choose tools that cater to all students, including those with disabilities, ensuring an equitable learning experience.
• Seek Trustworthy AI: Seek AI tools are built on rigorous research, human oversight, and a learner-first approach, ensuring quality and compliance with industry regulations.

The integration of these tools support students academically and equips them for careers in an ever-evolving, AI-dominated workforce.

Permission granted by VitalSource   The Future of Higher Education

Higher learning isn’t just a pathway to earning a degree — it’s a transformational experience that prepares individuals for opportunity and innovation in an unpredictable economy. However, the value of this experience is only as strong as the tools used to deliver it. Institutions that don’t adapt risk becoming obsolete, while those embracing AI and digital learning will rise in relevance and impact.

Clearly defined expectations from modern learners provide invaluable insights for higher education leaders who are ready to listen and act. Leveraging digital tools and AI-powered solutions to enhance an institution's impact starts with a deep understanding of the primary influencing factors. Explore additional research insights and key findings in the full report.

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