Why do millions of students still chase MBA degrees when everything they need to learn is just a YouTube search away? Nikhil Kamath, co-founder of Zerodha, recently sparked controversy by calling traditional MBA programs outdated and even labeling some students as “idiots” for pursuing these expensive degrees.
Kamath argues that MBA curricula teach content that becomes irrelevant quickly in today’s fast-changing markets. He points out that all the material covered in business schools is now freely available on YouTube and other digital platforms. Students can access the same case studies, business theories, and research tools without paying hefty tuition fees or spending two years in classrooms.
Why pay lakhs for outdated MBA content when the same case studies and theories are freely available on YouTube?
The financial burden weighs heavily on his criticism. In India, MBA programs cost around 20 lakh rupees, creating massive debt for middle-class families. Yet many graduates struggle to find jobs or see significant salary improvements after completing their degrees. Kamath questions whether this investment still makes sense when the returns are increasingly uncertain.
Major tech companies are already changing how they hire. Meta and Apple have eliminated degree requirements from their job applications, focusing instead on practical skills and real-world experience. This trend is expected to spread to smaller companies within the next few years, making formal qualifications less important than actual competency.
Kamath believes AI tools like ChatGPT have revolutionized learning. Students can now create case studies, conduct research, and solve complex problems without institutional help. Digital platforms offer specialized training that often surpasses the generalized curriculum of traditional MBA programs.
He advocates for vocational and skill-based learning instead. Hands-on experience and continuous upskilling through online resources provide better career preparation than periodic formal education. Entrepreneurship offers another practical alternative to the conventional employment pathway. Kamath emphasized that this trend will increase as more individuals choose entrepreneurial ventures over traditional employment paths. These remarks were made during Zerodha’s 15th-anniversary AMA session alongside other senior colleagues.
However, critics argue that MBA degrees still serve as essential upward mobility tools, especially for students from smaller towns with limited resources. The networking opportunities and credibility that come with prestigious business schools remain valuable assets in certain industries.
Despite the controversy, Kamath’s message is clear: the education landscape is changing rapidly, and students should carefully consider whether traditional degrees still offer the best path forward.
