GETTING a degree via the Internet might have been unthinkable 10 years

ago, but today, an online degree programme is just another option for

pursuing tertiary education. Online education or e-learning is starting to

revolutionise the country's education system. Although still in its

infancy, online education is definitely catching on with more and more

universities adopting some form of online learning. Corporate

organisations are also beginning to conduct online training for their

employees. A report by International Data Corporation (IDC) reveals that

the corporate sector in Asia Pacific alone is projected to spend US$233.6 million on online learning in 2005, compared to US$83.5 million in 2000.

The projection by IDC does paint a very positive future for the online

education sector. But, there is no telling what would happen in the

future. Unexpected events have proven that the global economic conditions

are rather volatile. Naturally, one would conclude that the business of

online education would be affected by an economic downturn and suffer the

same consequences as other businesses. However, according to players in

the local online education sector, it might just be the other way around

especially for the higher degree level education.

`The state of the economy has affected most businesses in the country.

However, somehow education is one industry that would be least affected

because those who cannot get jobs will eventually have to think of

improving themselves and be more prepared to compete in the job market

later when the market improves,' says Datuk Dr Syed Othman Alhabshi, the

president and CEO of University Tun Abdul Razak (UNITAR). UNITAR was set

up by KUB Malaysia Bhd in December 1997 and began operations in 1998. It

marked the start of a new era in local education where online education

was seen as a big business for those who seize the opportunity. Othman

claims that UNITAR has enrolled about 7, 000 students so far.

Education experts quote a variety of reasons for the growing interest in

online education. These include the increasing number of households with

the PC (thanks to the EPF Computer Purchase Scheme) and the increasing

number of IT literate individuals in the country, a development attributed

to the government's efforts, such as the smart school and e- government

initiatives. Perhaps, some of the most compelling reasons for this growing

trend in online education at the tertiary level today are the increasing

unemployment figures, its competitive fees and the time flexibility and

non-gruelling timetable it affords.

The increasing rate of unemployment in the country, an after- effect of a

slowing economy, is one reason why online education is gradually stepping

into the limelight. The Ministry of Human Resources reports that the

number of people who were retrenched and those who opted for VSS

(Voluntary Separation Scheme) from January to Dec 8, 2001 was 36,404

people. As mentioned by Othman, these unemployed people with working

experience are often driven to continue their education in order to

enhance their chances of getting a better job in the future. `The

government's PSMB (Pembangunan Sumber Malaysia Berhad) has introduced a

scheme to help the retrenched workers and the unemployed to upgrade their

skills, especially in the fields of ICT. Such people will be more

accustomed to e-learning or online learning in the years to come,' says

Deisy Law , a research analyst from Frost and Sullivan.

Compounding the unemployment problem is the high number of fresh

graduates released into the market every year by local higher learning

institutions and the economic lull. In the Eighth Malaysia Plan, it is

forecast that in 2005 there would be 289, 806 students enrolled in local

public higher institutions. Of this number, more than 85 per cent will

graduate and compete in the job market. Thus, for unemployed graduates

online learning would be an alternative route to a better and brighter

future.

Another pull factor for online education is its relatively cheaper fees

compared to the traditional lecture-based learning method. UNITAR,

Malaysia's first virtual university, for instance, offers a Master of

Business Administration (MBA) for about RM15, 000 for the whole course,

which is much cheaper than what other local institutions are offering. The

cost for obtaining a general degree ranges from RM25, 000 to RM35, 000

depending on the university. Another local university, Universiti Putra

Malaysia (UPM), charges RM12, 000 per programme for an online Master of

Science in Human Resource, a sum considered affordable to those who are

keen to further their education. Although the duration of an online degree

course is a fraction longer than that for full-time enrolment, it is still

a flexible choice for many working adults.