New Player in Online School Market Pursues Profits

Connections Academy Battles Competitors for Cyber School Business

The Colorado Connections Academy, a K-8 online school, faces the picturesque Inner Harbor here, just off the Chesapeake Bay. But its 379 students can’t see the bay from their desks. They’re some 2,000 miles away in Denver, in Littleton, and down near the New Mexico border in Pueblo.

The Colorado school is one of eight such online schools nationwide operated by Connections Academy Inc., a for-profit online education provider and former subsidiary of the Baltimore-based tutoring-services company Educate Inc.

Connections Academy is one of a growing number of players in the online school market, which also includes companies such as McLean, Va.-based K12 Inc., and Akron, Ohio-based White Hat Management LLC. Among the nonprofit regional players are the Pennsylvania Cyber Charter School and...

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