YouSaid · the spoken record

Chip Paucek

lines on the record: 103
first: 2018-10-13
most recent: 2018-10-13
sittings or episodes: 1
sources: podcast

Every line below is reproduced as it was said and linked to the record it came from. Nothing here is summarised or generated. Directory · Search · Corrections

“The schools themselves and the general, like I was pretty surprised that the New York Times, where you're at now was writing about it every week. Because we actually didn't think that it was going to fundamentally change everything. It did raise people's attention that all of a sudden, my biggest issue as CEO is preconceived notions of online education are bad. People think it stinks. So having all of a sudden the word Harvard...”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Yeah, I know you are. Yeah, I mean, so, you know, what's interesting is before the MOOCs, we're already on the scene, just no one's ever heard of us, right? So there were people like me that were helping the real schools go online and offer the real thing.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Yeah, I am. Yeah, I know you are. Sham, and they got sued. But anyway, so there are those. But the Trump industry was actually one of them, was one of the many. So then what else? Then MOOCs, right? Then MOOCs.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“No, so I think there was a lot of innovation that occurred at the for-profit space. We wouldn't be where we are if they hadn't launched. Unfortunately, too many people selling a criminal justice agree and it's not obvious what somebody's going to do with that. So if you get out and you have a bunch of debt and you don't have an opportunity after. That's not good. Right.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Most of all, integrity. Well, everybody loves to say, you know, we don't need that now. We just need you to know the code. No”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Critical Being persuasive, like all these things are Shakespeare or whoever, or Tony Morrison, or anybody. It was interesting because I Because it's absolutely the most important part having a wide, widely read and widely critical.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“When we are hiring today, we have like, you know, we have 25 We have 2,500 employees, and when we hire critical thinking, reading, writing, like making an argument, being persuasive, like all these things are”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“I was with one of them, and I literally made a Shakespeare reference. They're like, what? I'm like, oh my God, you didn't finish college, did you? I keep blaming Facebook's problems the fact that Mark Zuckerberg didn't take enough humanities courses, but I now believe it's true.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Crazy, you know, the like being a three time CEO, this is the only one that worked. Now, this one worked to the extreme, but my first one I ran for a decade and it failed. And so when people are running around Silicon Valley talking about failing forward, failing fast, give me a break.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Yeah, you know, I'll tell you, when I hear Peter Thiel talking about funding dropouts, like you want to get me going? Yeah.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Well, it was the first schools to go online, were not the schools that we all know. They were all for-profit schools that were built to try to serve a much wider group of people. We need more education, not less. Like we desperately need more college attainability. Like, we need people need the access.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Linda So, I mean, I would talk about like three waves. The first wave I mentioned earlier was the for profits. And, you know, unfortunately, not all of it worked, which, by the way, is not good for America.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“It was at Stanford. I keep telling him, so my son now is in the process, right? And I keep telling him that there's so many great schools. And I'd be thrilled if he went to any of our partner schools. They're just all pretty exceptional.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Well, no, I've taken a close up one of those presidential classroom type things in DC. So I'd seen the DC schools. So I applied to GW and Georgetown in American. I didn't get into your alma mater. I got into GW.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“You know, it's interesting. I only applied to some schools in Florida. So just to give you an idea of, I'd been out of Florida three times in my life. I bought my first winter coat of my life with the guy that's now my general counselor. At G So I hadn't seen much of the world But the one place I had seen is I'd taken”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“I mean, my wife and my board asked me the same question when I told them I wanted to do this. They both thought I was a little insane. I'd been a liberal arts graduate, so just to get into me a little bit, a first generation college graduate got to GW, got a Pell grant to go there. Higher ed completely changed my life. It's hard to overstate, met my wife at GW. We're still together 28 years later. GW couldn't have changed me more, but I was a liberal arts major and I'd never taken a single business course and I get out of college and I start a company. And I just really wanted it. I'd read the balance sheet for a long time, but I never made one. And so, and Chapel Hill had been an aspirational school for me growing up. So I really wanted to do this.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“We're not education tinder. We are not education Tinder. But the fact is you do meet people and you become close to one another and you learn a lot from one another.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“And it took me four years, so I was like the longest standing student in the history of Keenan Flagler Business School. But kidding aside, having that experience, I could tell you from the standpoint of the faculty interaction, huge part of the value proposition. But then the student interaction. You remember your fellow students even more than you remember your faculty from wherever you went to school. So, that intimacy of the online environment, we've got a bunch of, we have a bunch of marriages that have happened in the program, people meeting in the programs. Now, we're not a dating service, but like.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Well, offering a really intimate experience where you're going to be with your faculty. I mean, the faculty in these programs, you don't get to Georgetown or Berkeley or Yale or any of our schools and be faculty there without being pretty exceptional. So, having that faculty time, I actually took our MBA program, so I graduated. I got to be one of the only people that's done an IPO while being in an MBA program, by the way. So I didn't do it to eat my own dog food. I didn't do it to talk about it. I did do it for the hair club. Chape”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“It's awesome. So I would say the individual programs, you might have a student body of 50, 100, 200 students. And then in the case of our size, you get three to five hundred per year, so you'd have a student body between, let's say, 500 and 1,000. So it's a significant expansion for the school. It's a good revenue source for the school, but it's got to work. And so until we had proven that we could create really high quality graduates with good jobs and the student outcome side. No one would have continued to purch”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Yeah, I mean, you're talking about significant size increase for the school. Now, not like you're not talking about taking a school from 200 students on campus to 10,000. But the typical two you program will enroll somewhere between 300 and 500 new students per year for the school. So if you look at a program like Georgetown, The nursing program at Georgetown was quite small in that case because most Most graduate education, most of the programs that they”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“That's two years. So that depends on the school, but you don't have your room and board and you don't have your employed during that time. So to the debt burden to the student is substantially lower.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Most of the programs, like an MBA, will cost you somewhere between, let's say, on the low end, $55,000 and on the high end, $100,000 for the full program”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“So, if there are most of graduate education is not there, we actually, to you, deploys quite a few scholarships to track different groups of students, but overall graduate education is either self-pay or loans. And so, if the campus tuition price is a certain price.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Stage of life is the electric cars. You're such the early stage of the market. I really believe that's where we are in online education. Like it's very early days. And so we think all of it will go online over time. Even disciplines that you wouldn't immediately expect.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“So on balance, it's typically slightly older student. But I think we're at the very front edge of this. So it's my belief that all of graduate education is going to go this way. It's just the value proposition to the consumer is so much better.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Well, the biggest cost to graduate education is the opportunity cost. So most people to go, you know, like if you're going to go to grad school, even like an MBA, if you're going to a campus program, you're typically quitting your job and you're going to campus for two years. Whatever you're making during that two years, you're typically either borrowing or getting from family. And so the people across the entire portfolio of two used programs, whether it be speech pathology or physical therapy or data science, sort of using extremes, they're typically employed and they stay employed. So, you're able to have continue your career sort of building your career, the next step in your career without sacrificing the current job.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“It's like the on campus program at the time was high 90s was like 99 point something and we were like half a percentage point lower.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“But then you go to class And then you do your clinical placement. And so, when you put that all together, you're talking about high quality student outcomes, high quality graduation rates, board pass rates. Like in the case of Georgetown, we really, even after we fully launch the program, we've been running it a couple of years when we really sort of captured the minds of the faculty was when the first set of graduates, which was a big number. Past their boards at a very close to the same rate as the campus program. Like that was where that's the rubber that makes the road.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Are so you're not, you know, we don't put a camera at the back of the classroom, the physical classroom, because if you were going to make a movie out of a play, you wouldn't put a camera at the back of the theater. You just have a crappy movie. So you make a movie, not a play, right? So when you're producing for the online environment, you can do a bunch of things that wouldn't just be recording the professor. And we do that.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“In the 2U programs, you watch a lot of pre recorded content But then you go to class once a week with your faculty and your fellow students.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“So, our average class size across the entire portfolio Is today about 14 students So, you're talking about super intimate live classes with the faculty instead of just being fully asynchronous I hate the term asynchronous because people tend to people. Yeah, so it means like the canned, you know, in an asynchronous program, you're never, you watch a lecture, basically.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“So, I guess I would say why should you pick up your life, quit your job, and move to attend a school at grad school? And these are all graduate programs. Why should you pick up your life, quit your job to attend if you could get everything you would get from a school like USC, but do it in your local community? At that quality level with that rigor, with that affiliation, like you're becoming a Trojan at Tarheil Ajoya, not just a random one and zero. So, one of the things we brought to the table that was like at the time people thought was truly idiotic was live classes.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Now, the business for two you is we stand behind the scenes, we share tuition revenue over a long contract. So my shortest contract is 10 years. They're non-cancelable. So, it's a non trivial decision to do this on both sides. And the reason is I'll invest about 10 million of net negative cash over the first four to five years of that 10-year life before I swing. To you side to profit, the university's typically good in about a year. But the money is secondary. First and foremost, like, will it work? And if you look at online education, unfortunately, a long history of just not working for people necessarily the student outcome.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Expand their mission and reach And drive new revenue for the school. It's both, it's sort of a combination of mission and dollars, like sustainability is not optional. So it needs to all be sustainable and work. But it was all about quality to start”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“But the key is the right students for them. In other words, you know, Years older than Coca Cola, like you're talking about Some of the oldest standing institutions in our culture. So the idea was it had to be great.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“So, to pitch them, one of them is that I was just at a university the other day, and someone, it was the head of the university, was like, we're not going to have this school in 30 years. He was talking about various different things. And, you know, you see all these iterations. And we'll get to that later. But when you were selling them on it, obviously they wanted more students in the doors, not outside the doors or coming in”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“And I'll provide the tech platform, all the student support, all the faculty support, things like clinical placements. So as an example, one of my degrees at Georgetown is a Master of Science in Midwifery. And you wouldn't want to go to the midwife that delivered the virtual baby.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“So, the initial offer was we're going to bring you online. To you, we'll be behind the scenes. I mean, what's interesting is most people have never heard of the company, even though we're four and a half years public and one of the better performing technology stocks. Because my job is to work behind the scenes to promote and support Georgetown and USC, not to you. So the pitch was, we're going to do a bunch of things that you don't particularly do typically or do that well. You're going to do all instruction. You're going to grant the degree. You're going to make the admissions decision in terms of who gets in. You'll do all accreditation. So you'll do everything that you'd want your university to do. So it's like the real thing.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“And so we were pretty passionate. We were able to convince University of Southern California first to give it a shot. And then quickly thereafter, Georgetown, and then after that Chapel Hill.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“No, really, at this point, USC and Georgetown, really, in Chapel Hill, they all took a huge risk that. Didn't have any data to support the decision. The pitch was this is where the world's going to go, and we really believed it could be great. And so the university had to be convinced, first of all, that it was going to be extremely high quality. That this wasn't going to be some dumb down version of what they've done. Because if you think about it, companies don't last this long. My partners, my youngest university partner is 12 years older than Walt Disney. Like companies just don't last this long. So be really careful about that brand experience and the high quality and outcomes delivering the student outcome.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“There were lots of those. And so the great schools weren't doing anything online, and we really believed that you could do something great if you had institutional will, like to make the students equal sort of end the segregation of the online student, like give them the real rights, the real degree, the same quality, the same faculty, but you needed a great school to buy in. And it's not obvious why they said yes, but we were able to convince University of Southern California to sign up with us. And then Georgetown, your alma mater, and then University of North Carolina Chap”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Very early days You know, I'd say we really believe that the world was ready for really high quality online education, but people thought we were kind of crazy. Like people thought we were loons, honestly. At the time, no one was doing anything online from any of the great schools. So I would argue it was like the first wave of online ed where it was all for-profit. And I'm sure we're going to talk about that. But for-profit education has a bad rap for a reason, like for a long time it wasn't particularly very good.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“And what was the impetus for it? It was to teach, right? To find new ways of teaching because that was, if it was 10 years ago, it was early days. I remember Miles Gilburn had one. It's very early days. Reading one. There was a lot of early, early days.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“And so I'd go to the hill every quarter to tell her what was going on in the company. Ultimately, I didn't make her any money.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“So, I got to know her really personally, and when I started my first company, she was like, why are you leaving? And I gave her a business plan. Next day I come in, and one of the cooler days of my career, there's a Senate wax seal envelope, and I open it up and there's a check. And she became my third investor and my first company.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Right out of college. I graduated from GW And right out of college, people forget how rough the job market was in'92. And I got a job working for Barbara Mikulski as basically her assistant scheduler, which is the funny. He's like the worst job on the hill because basically all you do is say no because the scheduler takes the yes.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“Hooked on Fonix has been through a bunch of different owners. I honestly don't know where it is now. So I left to start to you. It was called Tutor at the time. But my career has been all in education except for one stint where I ran a U.S. Senator's reelection campaign, Barbara Makulski, from here in Maryland.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“You remember them. I was on, so I think I was on QBC like 35 times or something nonsense selling hooked on phonics. Yes. So I've had an interesting career all in education.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT
“So Hooked On Fonix's a reading program for kids. So, you know, the famous one with the infomercials hooked on Phonics worked for me. Oh, yeah. Yeah. So I was like cars.”
2018-10-13 · Decoder with Nilay Patel · Recode Decode: 2U CEO Chip Paucek · IDENTIFIED FROM THE TRANSCRIPT