History of University of Phoenix in Timeline

The University of Phoenix (UoPX) is a for-profit private university based in Phoenix, Arizona, established in 1976. It offers certificate, associate, bachelor's, master's, and doctoral degrees and maintains institutional accreditation from the Higher Learning Commission. The university is characterized by its open enrollment policy for many undergraduate programs and is owned by Phoenix Education Partners.

1976: University of Phoenix Founded

In 1976, the University of Phoenix was founded as a private for-profit university, with its headquarters in Phoenix, Arizona.

1978: Regional Accreditation

Since 1978, the University of Phoenix has been regionally accredited by the Higher Learning Commission (HLC).

1980: Expansion to San Jose, California

In 1980, the University of Phoenix expanded its operations to San Jose, California.

1989: Launch of Online Program

In 1989, the University of Phoenix launched its online program, marking a significant step in distance education.

1994: Apollo Group Goes Public

In 1994, leaders of the University of Phoenix made the parent company, Apollo Group, public.

1999: Enrollment Exceeds 100,000 Students

By 1999, the University of Phoenix's enrollment exceeded 100,000 students.

2000: Reliance on Contingent Faculty

As of 2000, about 97 percent of Phoenix instructors teach part-time, compared to 47 percent nationwide. This reliance on part-time faculty has been criticized by regulators and academic critics.

2000: Federal Government Fine

In 2000, the federal government fined the University of Phoenix $6 million for including study-group meetings as instructional hours.

2002: Relaxation of Instructional Hours Requirements

In 2002, the Department of Education relaxed requirements on instructional hours.

2003: Lawsuit Alleging Improper Financial Aid Practices

In 2003, a lawsuit was filed by two former University of Phoenix recruiters alleging that the school improperly obtained hundreds of millions of dollars in financial aid by paying its admission counselors based on the number of students they enrolled, a violation of the Higher Education Act.

2004: Change in Admission Policy

In 2004, John D. Murphy believed that the University of Phoenix abandoned its founding mission of solely serving working adult learners to admit virtually anyone with a high school diploma or GED.

2004: Allegations by Department of Education and Settlement

In 2004, the Department of Education alleged that the University of Phoenix violated Higher Education Act provisions that prohibit financial incentives to admission representatives and pressured its recruiters to enroll students. The university disputed the findings but paid a $9.8 million fine as part of a settlement where it admitted no wrongdoing and was not required to return any financial aid funds. They also paid $3.5 million to the Department of Labor to settle a violation of overtime compensation regarding hours worked by UoPX's recruiters.

2007: Report on Graduation Rate and Educational Quality

In 2007, The New York Times reported that the school's graduation rate had plummeted and that educational quality had eroded.

2007: Department of Education Demands Records

In 2014, the Department of Education's Office of the Inspector General demanded records from the school and Apollo Group going back to 2007 related to various aspects including marketing, recruitment, and financial aid.

2008: Pereira O'Dell Becomes Lead Ad Agency

In 2008, Pereira O'Dell became the lead ad agency for the University of Phoenix for a reported $220 million.

2009: Pell Grant and Financial Aid Recipient

During the 2008–2009 fiscal year, the University of Phoenix student body received more Pell Grant money ($656.9 million) than any other university and was the top recipient of student financial aid funds, receiving almost $2.48 billion.

2009: G.I. Bill Funding

From 2009 to 2015, the University of Phoenix received an estimated $1.2 billion of federal money issued through the G.I. Bill.

2009: Department of Education Report

In 2009, the Department of Education produced a report claiming the untimely return of unearned Title IV funds for more than 10 percent of sampled students and expressed concern about students registering for classes before understanding enrollment implications.

2009: Settlement of False Claims Suit

In 2009, the University of Phoenix settled a false claims suit for $78.5 million over its recruiter-pay practices.

January 2010: Letter of Credit Requirement

In January 2010, the parent company Apollo Group was required to post a letter of credit for $125 million by January 30 of the same year.

August 2010: ABC News Investigation

In August 2010, an ABC News investigation identified a University of Phoenix recruiter who sought new students from Y-Haven, a homeless shelter in Cleveland, Ohio. Another recruiter falsely claimed a Bachelor of Science in Education degree would be sufficient to qualify them to teach in Texas or New York.

December 2010: Growth Over Academic Integrity

In a December 2010 Bloomberg article, former University of Phoenix senior vice president Robert W. Tucker noted that co-founder John Sperling chose growth over academic integrity, which ultimately diminished a powerful educational model.

2010: Enrollment Decline Begins

Between 2010 and 2016, enrollment declined by more than 70 percent amid multiple investigations, lawsuits, and controversies.

2010: Peak Enrollment and Revenue

In 2010, the University of Phoenix claimed a peak enrollment of more than 470,000 students with a revenue of $4.95 billion.

2010: High-Pressure Sales Tactics

Prior to 2010, the University of Phoenix recruited students using high-pressure sales tactics, including assertions that classes were filling fast, by admissions counselors who are paid, in part, based on their success in recruiting students.

August 2011: Apollo Group to Acquire Carnegie Learning

In August 2011, Apollo Group announced it would buy 100% of Carnegie Learning to accelerate its efforts to incorporate adaptive learning into its academic platform.

September 21, 2012: Start Date for Loan Debt Cancellation Eligibility

September 21, 2012, marks the beginning of the period during which borrowers enrolled at the University of Phoenix could be eligible for federal student loan debt cancellation announced on September 20, 2023.

2012: FTC Investigation Begins

In 2015, the Federal Trade Commission (FTC) began investigating the University of Phoenix regarding an advertising campaign it ran from 2012 to 2014.

2012: Start Date for Military Student Recruitment Tactics Under Investigation

In April 2024, the University of Phoenix and California Attorney General Rob Bonta resolved an investigation into the university's use of military student recruitment tactics, which started in 2012 and lasted until 2015.

May 2013: Accreditation Status Placed on "Notice"

In May 2013, the University of Phoenix's accreditation status was placed on "notice" for a period of two years by the HLC, due to "insufficient autonomy relative to its parent corporation".

2013: Publication of 'Mission Forsaken'

In 2013, Murphy wrote in Mission Forsaken about the school's degeneration from a provider of working adult continuing education programs to a money making machine whose sole criterion for admission was eligibility for federally funded student loans.

2013: Department of Defense Ended Contract

In 2013, the Department of Defense ended its contract with the University of Phoenix for military bases in Europe.

2014: Department of Education Demands Records

2014: Partnership with HBCUs

In 2014, the University of Phoenix partnered with 47 historically black colleges and universities to offer UoPX classes that transfer to these institutions.

2014: FTC Investigation Begins

In 2015, the Federal Trade Commission (FTC) began investigating the University of Phoenix regarding an advertising campaign it ran from 2012 to 2014.

2014: Student Enrollment

The University of Phoenix enrolled almost 50,000 G.I. Bill students in 2014, twice as many as any other institution.

December 31, 2014: End Date for Loan Debt Cancellation Eligibility

December 31, 2014, marks the end of the period during which borrowers enrolled at the University of Phoenix could be eligible for federal student loan debt cancellation announced on September 20, 2023.

June 2015: HLC Resolves Concerns

In June 2015, the HLC determined that the University of Phoenix had resolved the concerns that led to the accreditation "notice".

October 2015: Suspension by Department of Defense

In October 2015, the Department of Defense suspended the University of Phoenix's ability to recruit on U.S. military bases and receive federal funding for educating members of the U.S. military.

2015: G.I. Bill Funding

From 2009 to 2015, the University of Phoenix received an estimated $1.2 billion of federal money issued through the G.I. Bill.

2015: Student Loan Debt

In 2015, MarketWatch reported that University of Phoenix students owed more than $35 billion in student loan debt, the most of any US college at the time.

2015: FTC Investigation Begins

In 2015, the Federal Trade Commission (FTC) began investigating the University of Phoenix regarding an advertising campaign it ran from 2012 to 2014.

2015: End Date for Military Student Recruitment Tactics Under Investigation

January 2016: Suspension Lifted

In January 2016, the Department of Defense suspension on the University of Phoenix was lifted after protest from senators John McCain, Jeff Flake, and Lamar Alexander.

February 2016: Apollo Group Sale Announced

In February 2016, Apollo Group announced its sale to a private investment group comprising Apollo Global Management, the Vistria Group, and the Najafi Companies, for $1 billion. Former U.S. Department of Education deputy secretary Anthony W. Miller, partner and chief operating officer of Vistria, became chairman.

March 2016: Scholarship Recipients Announced

In March 2016, the first ten scholarship recipients of the University of Phoenix partnership with the ASIS Foundation were announced.

August 31, 2016: Student Enrollment

On August 31, 2016, 142,500 students were enrolled at the University of Phoenix.

December 2016: Sale of Apollo Education Group Approved

In December 2016, the U.S. Department of Education approved of the sale of Apollo Education Group to Apollo Global Management. The company provided a letter of credit for up to $385 million.

2016: Enrollment Decline Continues

Between 2010 and 2016, enrollment declined by more than 70 percent amid multiple investigations, lawsuits, and controversies.

2016: Class-Action Lawsuit Filed

In 2016, Apollo Education Group shareholders filed a class-action lawsuit against the corporation, arguing that it withheld information leading to large losses in stock prices. Several of the allegations related to UoPX's recruiting of military personnel and veterans.

2016: Brookings Institution Study on Student Loan Default Rate

In 2016, a Brookings Institution study estimated the University of Phoenix's five-year student loan default rate at 47 percent.

February 2017: Faculty Layoffs

In February 2017, after the takeover by Apollo Global Management, the University of Phoenix laid off 170 full-time faculty members.

April 11, 2017: Termination of Naming Rights Deal

On April 11, 2017, the company terminated the naming rights deal for the University of Phoenix Stadium in Glendale, Arizona.

2017: Pell Grant Recipients

In the 2017–18 award year, 51,990 University of Phoenix students received the Federal Pell Grant.

2017: Advertising Spending

The Brookings Institution reported that University of Phoenix spent $76 million on advertising in 2017.

September 4, 2018: State Farm Acquires Stadium Naming Rights

On September 4, 2018, State Farm acquired the naming rights for the stadium previously known as the University of Phoenix Stadium.

December 10, 2019: FTC Settlement Agreement

On December 10, 2019, the University of Phoenix agreed to pay a settlement of $191 million related to charges that it recruited students using misleading advertisements. The amount included $50 million in cash and a $141 million cancellation in student debt.

2019: Degreed Enrollment

According to the 2019 academic report, the University of Phoenix's degreed enrollment was 87,400.

2019: Class Action Lawsuit Filed

In 2019, a class action lawsuit was filed by over 200,000 student borrowers alleging fraud, with the University of Phoenix named among 153 institutions in the case.

2019: Dismissal of False Claims Act Lawsuit

In 2019, the US Department of Justice decided not to take the case of Arthur Green and the records were sealed, which resulted in the dismissal of a False Claims Act Lawsuit.

March 2020: VA Suspends G.I. Bill Funds Certification for UoPX

In March 2020, the U.S. Department of Veterans Affairs (VA) suspended certification for G.I. Bill funds for new students at the University of Phoenix, citing a history of deceptive recruiting practices.

July 2020: VA Withdraws Sanctions Threat

In July 2020, the U.S. Department of Veterans Affairs withdrew its threat of sanctions against the University of Phoenix.

2020: Student Usage of Tuition Assistance and G.I. Bill Funds

In 2020–21, 1,316 University of Phoenix students used Department of Defense Tuition Assistance, and 7,380 students used G.I. Bill funds.

2020: Demographic Statistics

The 2020 Academic Annual Report for University of Phoenix indicated that women make up two-thirds of the student body, the average student age is 37, and more than 83 percent of its students are employed while in school.

2021: Campus Closures Continue

In 2021, University of Phoenix continued to close campuses, including those in Atlanta and Salt Lake City. The Phoenix, Arizona campus was the only location accepting new in-person students.

2021: Apollo's Investment Gains and Aid Received

In 2021, it was reported that Apollo's higher education investment in University of Phoenix gained about 50 percent in value, increasing from an initial investment of $634 million to $956 million. University of Phoenix also received $3.4 million in aid through the American Rescue Plan.

2021: Multiple Acquisition Proposals

Since 2021, multiple acquisition proposals were made for the University of Phoenix, including those by Tuskegee University, UMass Global, the University of Arkansas System, and the University of Idaho.

July 2022: Student Body Ethnic Composition

As of July 2022, according to the College Scorecard, the University of Phoenix student body's ethnic composition is 39 percent unknown, 26 percent white, 20 percent black, 11 percent Hispanic, 2 percent multiracial, with 1 percent each for Asian, American Indian/Alaska Native and Native Hawaiian/Pacific Islander.

August 2022: Settlement Approved in Lawsuit

In August 2022, a settlement was approved in the class action lawsuit, acknowledging "substantial misconduct" by the schools on the list, including the University of Phoenix.

April 2023: Supreme Court Rejects Challenge to Settlement

In April 2023, the Supreme Court rejected a challenge to the settlement, allowing the debt cancellation to proceed for students affected by the alleged misconduct of institutions like the University of Phoenix.

May 2023: University of Idaho Acquisition Deal Announced

In May 2023, the University of Idaho initially announced a deal worth $685 million to acquire the University of Phoenix.

September 20, 2023: Biden Administration Cancels Student Loan Debt

On September 20, 2023, the Biden administration canceled nearly $37 million of federal student loan debt for more than 1,200 borrowers who were enrolled at the University of Phoenix between September 21, 2012, and December 31, 2014.

2023: Student Employment Rate

According to the university's 2023 annual academic report, more than 78% of University of Phoenix students are employed while attending the school.

April 2024: Settlement with California Attorney General

2024: University Data Findings

Data from the University of Phoenix’s 2024 fiscal year in the S-1 filing showed that 76% of students were employed while enrolled, 95% of new students were over the age of 22, 64% cared for dependents at home, and 61% were first-generation college students.

2024: Washington Monthly Ranking

The University of Phoenix was ranked 360th out of 438 schools in the 2024 Washington Monthly list of national universities.

June 2025: Purchase Abandoned and Lawsuit Dropped

In June 2025, the University of Idaho abandoned its purchase of the University of Phoenix, leading to the dropping of the lawsuit filed by Idaho Attorney General Raúl Labrador.

August 29, 2025: Initial Public Offering Filing

On August 29, 2025, AP VIII Queso Holdings LP, the new parent company of the University of Phoenix, filed for an initial public offering and announced its name would change to Phoenix Education Partners Inc.

October 2025: Release of TransferPath Mobile App

In October 2025, the University of Phoenix released TransferPath, a mobile app that allows individuals to upload transcripts and preview how prior college credits may transfer into its degree programs.

November 2025: Data Breach Linked to Clop Ransomware

In November 2025, the University of Phoenix became one of several U.S. universities affected by a data theft campaign linked to the Clop ransomware group, which exploited a zero-day vulnerability in Oracle E-Business Suite software.

2025: Average Student Demographics

According to Phoenix Education Partners' S-1 filing in 2025, the average age of a University of Phoenix student was 37 years old.

2025: Announcement of Single Remaining Campus

In 2021, University of Phoenix announced that only one campus would remain open by 2025.

2025: Successful IPO and Market Value

In 2025, Phoenix Education raised $136 million through its IPO, giving the university a market value of $1.48 billion.

2025: Unranked in U.S. News & World Report

The University of Phoenix is unranked in the 2025 edition of the U.S. News & World Report "National Universities".

January 2026: Publication of White Paper on Credit for Prior Learning

In January 2026, the University of Phoenix published a white paper titled "Untapped Potential: How Credit for Prior Learning Can Redefine Employer Outlook on Professional Development", arguing that credit for prior learning can boost employee mobility and retention.