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Intel cuts tuition aid for University of Phoenix classes
Dawn Gilbertson
The Arizona Republic
Dec. 5, 2006 12:00 AM

Intel Corp. employees can no longer attend the University of Phoenix and a host of other schools on the company's dime because of stricter standards for tuition reimbursement.

The giant chipmaker now will pay for classes only at business and engineering schools with blue-ribbon accreditation.

In Arizona, the three state universities and a couple of others make the cut, including Thunderbird, the Garvin School of International Management.

The company, which has about 5 percent of its employees in school at one time, says it made the rare blanket move largely because it found that employees who didn't go to top-notch programs were losing out to those who did for promotions and new jobs.

Alan Fisher, Intel's manager of global extended education programs, said the change is in no way an indictment of for-profit schools like the University of Phoenix. He said that instead, it was a reflection on Intel's culture and highly educated workforce.

Still, the move is a blow to Phoenix-based Apollo Group, parent of University of Phoenix.

It relies heavily on tuition reimbursement for its revenue and has long counted Intel among its largest corporate customers.

Ayla Dickey, an Apollo spokeswoman, said the school hopes Intel reconsiders.