University of Phoenix is a profit driven entity. They started out as a vocational option for military veterans but in an environment where students loans ballooned, so did Phoenix. They focus on collecting as many students as possible, helping them get loans and promising them a college education. My wife taught for them for a short time and from what I saw, the students and the education was not at a college level.

Students would be better off going to a local community college for 2 years and then transferring to a state school to graduate. Tuition is lower, education is better.

The rapid growth of online degrees may bring competition to the market. Currently, many students choose in-state schools because it is a better value that moving somewhere else. Online allows schools anywhere to compete for those students and may start to drive prices down. Prestige will still be important for more elite universities but I suspect solid state schools may attract students by expanding online options.