California Universities Purchase ChatGPT Licenses for Students

Prestigious California universities are spending millions on AI tools like ChatGPT, with USC paying $3.1 million in late January for 80,000 licenses and the California State University system committing about $17 million to cover roughly 500,000 users through July 2026. The spending occurs amid faculty layoffs and multi-hundred-million-dollar budget shortfalls, prompting faculty and parents to question priorities, pedagogical effects, and transparency.