American Public Education, Inc. is a provider of online postsecondary education focusing on the needs of the military and public service communities. It makes money through its two main operating segments, American Military University, or AMU, and American Public University, or APU, which together constitute the American Public University System. Approximately 62% of its students serve in the United States military on active duty. As such, its revenues are highly dependent upon relations with the U.S. government.
APEI seeks to capitalize on the large and growing market for online education in national security, homeland security, and public safety professionals. As with their military counterparts, these individuals have unique program requirements as well as unpredictable and demanding work schedules that often prevent them from attending traditional universities. k
With more than 2.2 million active and reserve military professionals in the US Armed Forces, approximately 300,000 new service members are enlisted or commissioned to replace retiring and separating members. The unpredictable nature of work schedules make it advantageous for military personnel to enroll in APEI's online learning. As an added incentive, military leaders and policies promote voluntary education programs as a way for preparation of career following military service. Even for individuals that choose not to exit immediately into career after military service, academic achievement can also result in increased rank and pay for service members. APEI seeks to capitalize on this by providing education that is particularly suited for military members.
Because the majority of educational institutions are not-for-profit, for-profit institutional such as APEI must follow extensive regulatory requirements and could suffer severe fines and penalties such as the loss of access to federal student loans and grants should they seek not to follow the. Because a majority of revenues on a cash basis come from federal student financial aid, APEI must follow certain restrictions such as the fact that the percentage of revenues derived from each institution be less than 90%.
Corinthian competes with other not-for-profit education institutions, as well as for-profit such as: