From Murray: Three Reasons Colleges Are Oversubscribed. One quote:
...colleges are in many ways outdated. At one stage in history a college education required a physical plant where scholars could interact among themselves and with their students and where students could find the necessary resources for their studies such as libraries and labs. Now, however, libraries are largely obsolete and classes, even graduate seminars, can be conducted online. In many disciplines scholarship can be conducted in complete independence of the physical resources of a university.