What's Happening?
The ACT has undergone significant changes in an effort to regain market share from the SAT, which has become the most popular standardized test for U.S. high school students applying to college. Recent data shows that 45% more students from the class
of 2025 took the SAT compared to the ACT. In response, the ACT has shortened its test duration, expanded electronic test availability, and allowed schools to opt out of the science section. Additionally, the ACT has transitioned to a for-profit model under new ownership by Nexus Capital Management, which has raised concerns about the test's future and its alignment with educational goals.
Why It's Important?
The shift in standardized test preferences has significant implications for students, educational institutions, and the testing industry. As more students opt for the SAT, the ACT's changes aim to provide a competitive alternative, ensuring that students have options that best fit their testing needs. The transition to a for-profit model for the ACT raises questions about the prioritization of profit over educational outcomes, potentially affecting test accessibility and affordability. The competition between the SAT and ACT also influences state-level educational policies, as some states mandate one test over the other for student performance assessments.
What's Next?
The ACT's efforts to regain market share will likely continue as it seeks to attract more students and states to its testing platform. The impact of its for-profit status will be closely monitored by educational stakeholders, who may advocate for policies that ensure fair competition and prevent monopolistic practices. Colleges and universities may also reassess their standardized testing requirements, potentially influencing future test-taking trends. The ongoing competition between the SAT and ACT will shape the landscape of college admissions testing, affecting students' preparation strategies and educational choices.
Beyond the Headlines
The ACT's shift to a for-profit model highlights broader concerns about the commercialization of education and the role of private equity in shaping educational tools and resources. This development may prompt discussions about the ethical implications of profit-driven educational services and the need for regulatory oversight to protect students' interests. The potential for reduced competition in the standardized testing market could lead to higher costs for students and less innovation in test design, underscoring the importance of maintaining diverse and competitive options for college admissions testing.
