Honestly, if you've ever stayed up late enough to watch infomercials or scrolled through a job board, you've seen them. The big names. The "pioneers" of the online degree world. I'm talking about the heavy hitters that basically defined the for-profit education boom of the early 2000s. Specifically, DeVry University and the University of Phoenix.
People love to dunk on these schools. It’s almost a pastime in certain academic circles. You’ll hear terms like "degree mill" or "scam" thrown around in Reddit threads and at water coolers. But the reality in 2026 is a lot more nuanced than a simple "good" or "bad" label. Both institutions have survived federal lawsuits, massive rebranding efforts, and a complete shift in how we look at remote work and learning.
If you're looking at your career and wondering if a degree from one of these places still holds weight—or if you’re just curious about what happened to the University of Idaho’s attempt to buy Phoenix—you’re in the right place.
The Elephant in the Room: The "Nonprofit" Identity Crisis
Let's get one thing straight. For a long time, both of these schools were the poster children for for-profit education. That meant they were owned by shareholders or private equity firms, and their primary goal was, well, profit.
The University of Phoenix has had a particularly wild ride lately. You might have heard that the University of Idaho was going to buy them. It was a huge deal—a $685 million plan to turn Phoenix into a nonprofit entity. But as of June 2025, that deal officially died. The Idaho State Board of Education terminated the agreement after months of political pushback and legal headaches.
Basically, the University of Phoenix is back to being independent and for-profit. They’re owned by Apollo Global Management, and there’s even talk of them going public again through an IPO.
DeVry is in a similar boat. It’s a private, for-profit university. They’ve moved away from the giant parent company (Adtalem Global Education) and now operate as a standalone institution.
Why does this matter? Because for-profit status often comes with a "stigma" tag. Fair or not, employers sometimes look at a for-profit degree differently than one from a state school. However, in 2026, with the skills gap being what it is, many tech and business recruiters care way more about what you can do than where you sat for your exams.
Comparing the Numbers: Cost, Time, and Grit
If you’re stuck between these two, you’re probably looking at the bottom line. It’s a big purchase. Probably the second biggest one you’ll ever make.
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The Cost Breakdown (Roughly)
Phoenix is generally cheaper. You’re looking at around $398 per credit for most undergraduate programs. They also do this "tuition guarantee" thing where your rate stays the same as long as you stay enrolled. It’s predictable.
DeVry is a bit more expensive, often hovering over $500 per credit. They have more fees, too. You’ll see charges for technology, "student services," and books that can add up. But—and this is a big but—DeVry tends to focus more on "labs" and hands-on tech training.
The Pace of Learning
- University of Phoenix: They are famous for the 5-week course. You take one class at a time, go hard for five weeks, and move on. It’s intense but great for people who have zero attention span for a 16-week semester.
- DeVry University: They usually run 8-week sessions. It’s a middle ground. Not as frantic as Phoenix, but way faster than a traditional college.
Accreditation: The "Is This Real?" Check
One of the biggest misconceptions is that these degrees aren't "real."
Both DeVry and the University of Phoenix are regionally accredited by the Higher Learning Commission (HLC). This is the same body that accredits huge state schools like the University of Chicago or Ohio State.
If a school isn't regionally accredited, your credits won't transfer anywhere, and your degree is basically a fancy piece of cardstock. Since they are accredited, the credits are "real." However, whether another school accepts those credits is a different story.
DeVry also has some programmatic accreditations. Their engineering technology programs, for example, are often ABET accredited. That’s a big deal in the tech world. It means the curriculum actually meets industry standards for engineering.
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What Really Happened with the Lawsuits?
You can’t talk about these two without mentioning the FTC.
Back in 2016, DeVry settled for $100 million with the Federal Trade Commission. The issue? They were claiming that 90% of their grads got jobs in their field within six months. The FTC said those numbers were... let's say "optimistic." They were counting people who were already employed or working in jobs that didn't really require a degree.
University of Phoenix had a similar run-in in 2019, settling for $191 million over ads that suggested they had special partnerships with companies like Microsoft and AT&T to fast-track students into jobs.
Since then, both have been under a microscope. They’ve cleaned up their marketing significantly. You won't see those "90% success rate" banners anymore. They’re much more careful about "outcome" language now.
The Student Experience: The Good, The Bad, and The "Meh"
I've talked to people who graduated from both. The consensus? You get out what you put in.
Because both schools have "open enrollment" (basically, if you have a GED or High School diploma, you’re in), the classes can feel easy at first. Some call it a "degree mill" because it’s hard to fail if you just show up and do the bare minimum.
But if you’re actually trying to learn? The resources are there. Phoenix’s online platform is massive and polished. They’ve spent decades perfecting the "adult learner" interface. DeVry’s strength lies in their Keller Graduate School of Management and their tech labs. If you’re trying to learn networking or cybersecurity, DeVry’s virtual labs are actually pretty decent.
Real Talk on Graduation Rates
This is where the data gets a bit grim.
The 6-year graduation rate at some Phoenix campuses has historically dipped into the single digits or low teens. DeVry is often slightly higher, in the 20% to 30% range, but still far below the national average for traditional 4-year schools.
Why? Because their students aren't 18-year-olds living in dorms. They are single parents, full-time workers, and veterans. Life happens. People drop out because their car breaks down or their shift changes, not necessarily because the school is bad.
Actionable Insights: Should You Enroll?
If you’re considering DeVry or the University of Phoenix in 2026, don't just click "apply" because the website looks shiny. Do this instead:
- Check the "Transferability" Clause: Call a local state university and ask if they accept credits from the specific program you're eyeing. If they say no, think twice.
- Look for Programmatic Accreditation: If you’re doing tech, look for ABET. If you’re doing business, look for ACBSP. These labels matter more than the school's name.
- Audit the Cost: Don't just look at the per-credit price. Ask for a "Total Cost of Degree" sheet that includes every single fee and the cost of books.
- LinkedIn Stalking: Go to LinkedIn, search for the school, and see where the alumni are actually working. Are they at companies you want to work for? Message one or two of them. Most people are weirdly honest about their college experience once they’ve graduated.
- Employer Reimbursement: Many people at these schools are there because their employer (like Starbucks or Walmart) is paying for it. If you’re paying out of pocket, the "ROI" (Return on Investment) is much harder to justify than if it's free.
The bottom line is that neither school is a "scam" in the legal sense—they are accredited, legitimate institutions. But they are businesses. They are selling a product: a path to a degree. Whether that degree is worth the $40k to $60k price tag depends entirely on your specific industry and how much effort you're willing to put in once the "new student" smell wears off.