Cost Cited as Top Barrier to Student Access to Generative AI Tools
A recent survey of campus chief technology officers has revealed that cost is the primary barrier to institutions providing students with access to generative AI tools. Despite the growing importance of AI literacy and the potential benefits of these tools for education, half of the surveyed CTOs reported that their institutions do not offer students access to generative AI tools.

The survey, conducted by Inside Higher Ed with Hanover Research, found that among the 108 CTOs from two- and four-year colleges and public and private nonprofit institutions, 27% reported that their institutions offer students access to generative AI tools through an institutionwide license. Another 13% said access was limited to specific programs or departments, while 5% reported having a custom-built generative AI tool for students.
Ravi Pendse, vice president for information technology and CIO at the University of Michigan, noted that while cost is a significant barrier, the costs associated with AI prompting have decreased over time. “Sometimes we get paralyzed by, ‘I don’t have resources, or there’s no way I can do this,’ and that’s where people need to just lean in,” Pendse said.
The survey also highlighted varying approaches to funding generative AI access. Among institutions that provide access, half cover the costs through their central IT budget, while a quarter reported no associated costs. Most of the remaining institutions indicated that funding comes from individual departments.
Experts emphasize that institutional access to generative AI tools is crucial for digital equity and workforce readiness. Sidney Fernandes, vice president and CIO of the University of South Florida, noted that institutional access provides a more secure and privacy-conscious environment for students to use AI tools. The University of South Florida offers all students, faculty, and staff access to Microsoft Copilot, ensuring data privacy and security.
The issue also implicates big tech companies, whose generative AI models benefit from the knowledge generated by colleges and universities. Muhsinah Morris, director of Metaverse programs at Morehouse College, called on big tech companies to partner more significantly with educational institutions to provide free generative AI access.
As institutions navigate the challenges of providing access to generative AI tools, experts stress the importance of not only providing access but also ensuring that students are equipped to use these tools effectively. Jenay Robert, senior researcher at Educause, noted that access is only part of the equation; institutions must also help students learn how to use AI tools to avoid widening the digital equity divide.