Knewton Is Building The World's Smartest Tutor
forbes.com
forbes.com
I prefer the Khan Academy model: "provide good lessons for free to those who have the desire to learn".
Do you really think Khan Academy is free? It's only free if you have electricity, a computer, and a broadband internet connection. Knewton really adds only a tiny amount of money on top of that massive infrastructure cost.
Even if you think "oh, just go to the public library!" I would respond, "how, with what money or means?" That's not free either.
None of these things are "free". I feel that you've simply taken an arbitrary ideological stance where a company producing materials and asking for money to compensate them is somehow less "preferable".
Khan is changing education from without, and Knewton is changing it from within. What's wrong with either approach?