New enrollment gains in fall were driven almost entirely by community colleges, associate programs and credential certificates, the National Student Clearinghouse reported. Over 16 million students enrolled in undergraduate programs—an increase led by two‑year institutions which added roughly 173,000 undergraduates, while public four‑year growth lagged and many private nonprofit colleges lost students. Analysts point to cost sensitivity, job market uncertainty and the threat of AI automation as drivers pushing students toward shorter, cheaper pathways. The shift forces four‑year institutions to reconsider program portfolios, pricing and workforce partnerships as demand fragments across credential types.