The Future of Coding Bootcamps: Innovation, Challenges, and Evolution

An Insider's Take on the Future of Coding Bootcamps

This article, published on August 26, 2017, by Darrell Silver, co-founder and CEO of Thinkful, explores the evolving landscape of coding bootcamps and their role in the education and tech industries. It addresses the paradox of bootcamp closures amidst growing employer demand and highlights key areas of innovation, challenges, and criticisms within the sector.

Why Bootcamps Exist

Coding bootcamps have emerged as a significant alternative to traditional higher education, driven by millions of adults seeking career changes due to unfulfilling majors, lack of qualifications for desired jobs, and the unwillingness of employers to fund career transitions. In 2017, bootcamps were projected to graduate approximately 22,000 students, a number comparable to graduates from accredited colleges and universities, despite the latter's centuries-long head start. This growth is fueled by the recognition that bootcamps can provide a more direct and efficient path to employment in the tech industry.

Coming Innovations in Coding Education

Several key innovations are shaping the future of coding bootcamps:

Risk Sharing: A growing trend involves "risk-sharing" models, where educational institutions have a financial stake in student success. This includes private loans from entities like Skills Fund, which escrow a portion of tuition until students achieve positive outcomes. More significantly, Income Share Agreements (ISAs) are gaining traction, allowing students to pay tuition as a percentage of their future salary, thereby aligning the school's incentives with student success and improving access for those without traditional credit. This model fosters trust and can potentially replace government funding.
Staffing Firm Integration: Staffing firms are increasingly investing in education. Companies like Revature train individuals for consulting roles, while partnerships between universities and firms like Infosys (e.g., Purdue's partnership) aim to bridge the skills gap. Chan Zuckerberg Initiative's backing of Andela to train and place engineers in Africa exemplifies a similar model, where education is provided in exchange for contracted labor.
Diverse Skill Development: Bootcamps are moving beyond solely focusing on web development to include specialized skills in libraries, tools, and topics that employers specifically need. This specialization reduces hiring and onboarding costs for companies and enhances graduates' employability. Schools are also advised to avoid graduating large numbers of students with identical skill sets competing for the same jobs.
Expanding Curriculum: The article predicts that subjects beyond web development, such as UX, design, data science, and cybersecurity, will become increasingly common in bootcamp offerings, challenging the notion that "code" is the sole focus.
University Partnerships: Universities are leveraging "white-labeling" to offer bootcamp-style education, often to generate much-needed revenue. Trilogy Education's $30 million funding round to partner with universities for reselling bootcamp education under university brands highlights this trend. While some universities may be financially motivated, this also reflects a broader shift in educational delivery.

The Table Stakes for Success

For coding bootcamps to thrive, certain elements are becoming essential:

Outcomes Reporting: Transparency in job placement and other outcomes is crucial. Competing standards like CIRR (Council for Industry Research and Reporting) and EducationQA are emerging to provide verifiable data. Schools that fail to report outcomes, like the recently closed Dev Bootcamp and The Iron Yard, risk losing credibility.
Exceptional Career Services: Career services are as vital as the curriculum itself. The best programs integrate career coaching early, budget for high-quality coaches and advisors, and provide support for up to six months post-graduation to ensure student success.

Potential Pitfalls and Criticisms

The coding bootcamp industry faces several challenges and criticisms:

Reputation Management: The collective reputation of the industry is at stake. Fraud, student betrayal, or profiteering by a few schools can negatively impact the entire sector. Industry-wide initiatives like CIRR aim to foster transparency and accountability.
Government Loan Programs (EQUIP): The Obama-era EQUIP initiative, which allowed government loans for bootcamps, is viewed with caution. Critics argue that it could undermine the core premise of bootcamps (clear ROI for students) by shifting focus from outcomes to certification, potentially leading to debt and devaluing the education, similar to the pitfalls of for-profit colleges in the past.
Criticism from Academics: Voices like Tressie McMillan Cottom, author of "Lower Ed," raise concerns about the historical parallels between the bootcamp model and the rise of for-profit colleges, particularly regarding the use of federal student aid. Cottom argues that when social policy chases these programs without addressing underlying issues, it can lead to negative outcomes. She views self-funded education as a "tax paid for job entry" and questions the sustainability and equity of the model if it relies on students bearing the full cost.
ROI and Market Saturation: While bootcamps aim for a positive Return on Investment (ROI), critics point out that without guaranteed jobs or salaries, they represent a pre-tax cost for job entry. The success of bootcamps depends on factors like the necessity of the certificate, sufficiently high wages to offset costs, and the credential's utility for both job entry and promotion. Concerns also exist about market saturation, with some schools graduating many students into the same job markets.

The Neighbors (for now)

Looking ahead, the bootcamp model is expected to expand and evolve:

Corporate Training: Companies will increasingly invest in upskilling their existing workforce. General Assembly's shift towards the corporate market is a precursor to this trend, with other schools likely to follow suit to capture the significant spending on corporate training.
College Replacement: Startups are emerging to offer alternatives to traditional four-year degrees, targeting 18-year-olds seeking direct entry into the workforce. This presents a different educational challenge but addresses the rising costs and debt associated with higher education.
Free Learning Platforms: Free resources like FreeCodeCamp, Code Newbies, and Codecademy pose a competitive threat. If these platforms can match the quality of bootcamp programs, the cost of coding education could drop to zero. However, the value proposition of bootcamps currently lies in personalized guidance and career services.
International Markets: The demand for tech education in China, driven by affluent parents and a cultural emphasis on American education and tech, presents a significant growth opportunity for bootcamp providers.

Conclusion: It's Not Rocket Science

The article concludes that success in the evolving bootcamp landscape requires continuous innovation beyond "Version 1." It emphasizes the importance of hard work, passion, and a commitment to student success. The author stresses that staying ahead involves being more dedicated than competitors, more optimistic than critics, and more hardworking than those who underestimate the effort required. Learning from history and listening to critics are essential for the industry's long-term health and for improving upon the often-criticized status quo of traditional higher education.

Key Takeaways:

Coding bootcamps are a response to the limitations of traditional higher education in preparing individuals for tech careers.
Innovations like Income Share Agreements (ISAs) and risk-sharing models are crucial for student access and success.
The industry must focus on transparency, robust career services, and diverse skill development.
Criticisms regarding ROI, market saturation, and parallels with for-profit colleges need careful consideration.
The future involves expansion into corporate training, potential college replacement models, and international markets.
Continuous innovation and a commitment to student outcomes are vital for survival and success in the competitive EdTech landscape.