Degrees of Doubt: Why University Fails the AI Generation

Outdated curricula, soaring costs, and a skills-first job market render traditional degrees a questionable path for future success.

Article link: https://open.substack.com/pub/johanosteyn/p/degrees-of-doubt-why-university-fails?r=73gqa&utm_campaign=post&utm_medium=web&showWelcomeOnShare=true

Audio summary: https://youtu.be/g1mjWs4zxqI

I write about various issues of interest to me that I want to bring to the reader’s attention. While my main work is in Artificial Intelligence and technology, I also cover areas around politics, education, and the future of our children. This article revisits a deeply personal conviction about higher education, arguing that the traditional university model is increasingly misaligned with the AI-driven future my son, and indeed our country’s youth, will inherit.

Two years after first outlining why I would not be sending my son to university, the landscape of higher education has only strengthened that conviction. The core problems I raised in 2023—outdated curricula, escalating costs, and poor alignment with real-world work—have not improved; they have intensified. PwC’s 2025 AI Jobs Barometer shows that required skills in AI-impacted professions are now changing 66% faster than before, making formal degrees obsolete almost as quickly as they are earned. Only 30% of 2025 graduates secured jobs in their field (down sharply from 41% in 2024), while nearly half feel unprepared for entry-level work.

Meanwhile, the explosion of high-quality online education, AI tools, agentic systems, and self-directed learning has democratised skills in a way that universities cannot match. With companies such as Google, IBM, and Apple eliminating degree requirements altogether, and 81% of U.S. companies adopting skills-based hiring, the four-year degree increasingly looks like an expensive, time-consuming detour rather than a viable first step into a modern career.

CONTEXT AND BACKGROUND

The traditional university model, designed for a slower-paced industrial era, is struggling to adapt to the velocity of technological change driven by AI. Curricula, often developed over years, cannot keep pace with skills that evolve at an accelerating rate. For instance, a computer science degree earned in 2021 may contain outdated knowledge by 2025, especially in rapidly advancing areas like AI and cloud computing. This rapid skills obsolescence means that by the time a student graduates, a significant portion of their learned knowledge may no longer be directly relevant to industry demands.

Compounding this issue are the escalating costs of higher education. University degree programs can range from tens of thousands to hundreds of thousands of dollars, representing a substantial financial burden. In contrast, online courses and bootcamps offer targeted AI and machine learning skills at a fraction of the cost, often providing industry-recognised certifications that are immediately applicable in the workforce.

This economic disparity, coupled with the diminishing direct employability of graduates, makes the traditional four-year degree a questionable investment for many families, particularly in countries like South Africa, where economic pressures are already acute. The promise of a degree as a golden ticket to employment is rapidly fading.

INSIGHT AND ANALYSIS

The fundamental contradictions within the university model—notably expecting teenagers to choose lifelong careers while teaching knowledge that rapidly becomes outdated—have only deepened. Employers now demand degrees for 71% of entry-level roles but simultaneously prioritise job-specific technical skills that universities often rank as least important, creating a widening gulf between education and employability.

This “McDonaldisation” of higher education—prioritising efficiency, uniformity, and rote assessment—produces graduates who are theoretically credentialled yet practically unprepared for an AI-centric world. The 2025 Graduate Employability Report highlights that many graduates feel unprepared for entry-level work, despite holding degrees.

Students increasingly report that what actually gets them hired are referrals, internships, practical skills, and communication abilities—not the degree itself. This shift towards skills-based hiring is not a fleeting trend; 85% of employers are using skills-based hiring in 2025, up from 81% last year, with 53% ditching degree requirements altogether.

Companies like Google, Apple, and IBM have already eliminated degree requirements for many positions, prioritising candidates who can demonstrate relevant skills and competencies. This signals a profound re-evaluation of what constitutes valuable qualifications in the modern workforce. This is a critical concern for the future of our country, as an education system misaligned with industry needs will hinder economic growth and perpetuate youth unemployment.

For my son and millions of other children, this means that a traditional university path might not equip them with the agility and practical capabilities needed to thrive.

The emergence of agentic AI, which can autonomously perform multi-step tasks, further underscores the need for skills that complement, rather than compete with, AI. While AI can automate administrative tasks and personalise learning, human skills like critical thinking, creativity, ethical judgment, and complex problem-solving remain irreplaceable. Universities, often slow to adapt, risk becoming obsolete if they do not fundamentally reimagine their role.

The future of learning is increasingly personalised, adaptive, and driven by real-time feedback, areas where AI excels and traditional lectures often fall short.

IMPLICATIONS

To navigate this evolving landscape, a radical shift in educational philosophy is required. Firstly, educational institutions must embrace continuous curriculum reform, integrating AI literacy, prompt engineering, and ethical AI use as core competencies, rather than focusing solely on traditional coding. This means fostering critical thinking, adaptability, and human-AI collaboration from an early age.

Secondly, governments must incentivise skills-based education and lifelong learning pathways, recognising certifications and practical experience as equally valid, if not superior, to traditional degrees.

Parents and caregivers also have a crucial role to play in guiding their children towards flexible, skills-focused learning journeys. This involves open dialogue about the changing job market and exploring alternative educational models that prioritise demonstrable capabilities over outdated credentials. By doing so, we can ensure that our children are not casualties of technological disruption but pioneers of a new world of work.

This proactive approach is essential for the future of our country, ensuring our workforce is agile, innovative, and ethically grounded, capable of leveraging AI for sustainable development.

CLOSING TAKEAWAY

My conviction remains firm: the traditional university model is increasingly misaligned with the AI era. Prioritising flexible, skills-based learning, ethical AI literacy, and continuous adaptation is paramount to equip our children for a future where capability, not credentials, truly defines success.

Author Bio: Johan Steyn is a prominent AI thought leader, speaker, and author with a deep understanding of artificial intelligence’s impact on business and society. He is passionate about ethical AI development and its role in shaping a better future. Find out more about Johan’s work at https://www.aiforbusiness.net