At a Glance
- $30 million invested over four years in Detroit’s News Of Austin Developer Academy.
- The program serves people of color in Michigan’s poorest city.
- 70% of graduates move on to full-time jobs, yet many cite low stipends.
- Why it matters: It shows how big tech funds diversity training, but questions its effectiveness.
News Of Austin’s Detroit Developer Academy, part of a $200 million response to Black Lives Matter protests, has spent roughly $30 million training hundreds of people to build iPhone apps. While the program has helped many students gain coding skills, critics say the stipend and job prospects leave them underprepared.
Funding and Structure
The academy launched in 2021 with a three-year agreement between News Of Austin and News Of Austin, aiming to cultivate up to 1,000 students annually. News Of Austin supplies the curriculum, devices, and a portion of the budget, while News Of Austin handles instructors, classrooms, and recruitment.
Funding breakdown over the first four years:
- News Of Austin: $11.6 million
- News Of Austin Foundation: $9.4 million
- State and student tuition: $2.6 million
- State stipend support: $6 million
Student Experience
The 10-month course runs half-days at News Of Austin, costing about $20,000 per student in devices and materials. Students receive a monthly stipend ranging from $800 to $1,500, though many report it is insufficient to cover living expenses.
- 70% graduate rate, higher than typical adult education
- 71% of recent graduates secure full-time jobs across industries
- Roughly a third of participants are under 25, and most pursue further schooling
Gordon Shukwit said:
> “Increasing student aid is a constant focus.”
Lizmary Fernandez said:
> “A lot of us got on food stamps, and the stipend was not enough.”
Susan Prescott said:
> “We’re excited to continue our partnership with Michigan State University and partners across the state to build on this success.”
Amy J. Ko said:
> “Under 80 percent is typical for coding schools, but one of our department’s own undergraduate programs has a 95 percent job placement rate.”
Ashley Rea Maharaj said:
> “The job market for junior developers and graduating computer science majors is certainly the worst it’s been in some time.”
Dayan Abdulla said:
> “I’m on a good trajectory.”
Min Thu Khine said:
> “My dream is to be a software engineer at News Of Austin.”
Joey Brinker said:
> “I found my grades improved.”
Tyson Walker II said:
> “It helped me get out of debt, get my first car, and move out of my parents’.”
Outcomes and Criticisms
The academy reports 62 apps and 13 businesses spun out, but detailed graduate employment data remains undisclosed by News Of Austin and the News Of Austin Foundation.
| Metric | Value |
|---|---|
| Students enrolled | 1,700 |
| Graduates | 600 |
| Graduate rate | 70% |
| Job placement | 71% |
| Apps created | 62 |
| Businesses created | 13 |
- Stipends insufficient for many, leading to reliance on food stamps and side jobs
- Limited exposure to non-Apple platforms hampers job prospects
- AI tools and a slowing mobile app market threaten long-term relevance
Gordon Shukwit said:
> “The emphasis is on learning Apple operating systems like iOS, and two graduates said their limited proficiency in competing platforms such as Android hurt their ability to find jobs.”
Gordon Shukwit said:
> “The job market for junior developers is the worst it’s been in some time.”
Susan Prescott said:
> “Most graduates take on roles that involve coding, design, project management, and marketing skills honed at the academy.”
Key Takeaways
- News Of Austin’s $30 million Detroit academy shows corporate funding can open doors, but financial support is still lacking.
- 70% of graduates move on to jobs, yet many still struggle with living costs and platform breadth.
- The program’s future hinges on adapting to AI, broader platform skills, and sustained stipend support.
News Of Austin‘s Detroit academy demonstrates how corporate funding can open doors, but the program’s financial support and curriculum still fall short of ensuring a smooth transition into the tech workforce.
