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Students were happy to pay $30 to rent a $250 textbook for a semester. But book purchases, warehousing and shipping bled cash. Venture capitalists invested $280 million anyway, and by 2010, lead investor Ted Schlein, a partner at Silicon Valley powerhouse Kleiner Perkins, recruited Dan Rosensweig to turn Chegg around.
In mid-January Chegg issued a press release about a new program called Honor Shield. It enables professors and instructors to presubmit exam or test questions, "preventing them from being answered on the Chegg platform during a time-specified exam period." Eleven months after colleges switched to remote learning, it quotes Chegg president Schultz as saying that because of the "sudden impact" of the pandemic, "a small number of students have misused our platform in ways it wasn't designed for."