Business schools across the United States are offering steep tuition discounts and scholarships as applications slow and professionals rethink the value of traditional MBA degrees in an uncertain job market shaped by artificial intelligence, according to a report by The Wall Street Journal (WSJ).
Several universities have reduced tuition fees for online, executive and specialised business programs by up to 50%. Schools are increasingly pitching shorter and flexible courses that allow professionals to continue working while gaining AI-related skills.
The discounts come at a time when many workers fear AI could disrupt career growth, hiring and long-term job security. Instead of leaving stable jobs for a two-year MBA, many professionals are choosing to stay employed and upgrade skills through shorter programs.
Business schools roll out discounts
Purdue University’s Mitch Daniels School of Business is continuing a 40% tuition cut for its online MBA program next fall after strong student response last year. The program now costs about $36,000 for out-of-state students, down from $60,000. In-state tuition stands at about $35,000.
The Paul Merage School of Business at the University of California, Irvine, is cutting tuition by as much as 38% for its Flex and Executive MBA programs. The discount ranges between $30,000 and $48,000. The programs include online and evening classes and feature redesigned coursework focused on AI and emerging technologies.
Johns Hopkins Carey Business School is offering a 50% scholarship to students graduating from Maryland colleges this spring if they join one of its specialised master’s programs this fall, including finance and healthcare management.
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Washington University’s Olin Business School recently launched a $10,000 scholarship for professionals whose careers have been affected by AI. The scholarship applies to the school’s new master’s program in AI for Business.
“We wanted to provide as little friction as possible for displaced workers in order to be able to upskill and get back into the workforce,” Olin deputy dean Joe MacDonald told WSJ.
MacDonald added that graduating students whose fields have changed rapidly because of AI may also qualify for the scholarship.
AI fears reshape career decisions
The WSJ report said concerns around AI are changing how professionals think about higher education and career growth.
Traditional MBA programs have long attracted workers looking to switch careers, explore new industries or move into leadership roles. But many professionals are now reluctant to step away from full-time jobs amid uncertainty around hiring and layoffs.
Petia Whitmore, founder of admissions consulting firm My MBA Path and former dean of graduate admissions at Babson College, said many workers now prefer learning on the job over spending two years in business school.
“They’re saying, I can continue to just learn on the job. I’m actually OK the way I am,” she told WSJ.
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The trend reflects a broader shift in the job market. Earlier, professionals frequently changed jobs during strong hiring cycles. Now, many workers are focused on job stability as companies rapidly adopt AI tools across industries.
International demand weakens
Applications to US business schools declined last fall, according to the report. Many international students are also choosing schools closer to home because of concerns around visa restrictions and the political climate in the US.
At Olin Business School, MacDonald said applications from domestic students are increasing, while demand from foreign students has weakened.
Christien Wong, a business and computer-sciences student at Washington University in St. Louis, plans to join Olin’s AI for Business master’s program after graduating in May.
“Almost every job posting I’ve seen for internships or new graduates wants some kind of AI skills and expertise,” Wong told WSJ. “I think it’s the right move to give me the right skill sets for the future.”
Scholarships rise as schools chase enrolments
Data from the Graduate Management Admission Council (GMAC), cited by WSJ, showed that financial aid for graduate management students has increased sharply over the past decade.
Around 62% of graduate management students received financial assistance in 2025, compared with 48% a decade earlier. Merit-based scholarships also rose to 47% of incoming students last year from 32% ten years ago.
Higher-education consultant Tim Westerbeck told WSJ that many schools now rely heavily on tuition discounts to fill seats despite growing financial pressure.
“But discounting,” he said, “has gotten too expensive, and they still haven’t figured out how they’re going to sustain that model over time.”
