The size of impact that this has on higher education is fully dependent upon how successful their credentialing scheme is implemented and executed. Very curious to see how this unfolds.
I just hope that other schools start moving in this direction and perhaps some standards or at least conventions start to take shape.
For example: it would be useful if there were tagged video classes and materials so that if I am confused by the presentation by one lecturer I could look up a lecture on the same topic by someone else. I find that seeing a topic from a slightly different perspective is enormously helpful.
Naturally they have to be very cautious of how they market and execute on any alternative credentialing system, both due to the new system being in competition with the traditional, and to ensure the branding will (or can) not tarnish their name.