The three key players in any distance education scenario are students, instructors and the administration of the institution. Each of these players is affected in both positive and negative ways by entering the online learning environment.

Distance learning students have the benefit of a flexible study system that will fit their lifestyle. They also develop discipline, dedication, and a positive attitude towards learning. In addition, they do not have to cope with the hassles and stress of commuting to and from campus every day. But on the other side of the coin lie the potential for isolation and distraction, lack of concentration, and hindered social development. Often, credit earned from one school is not accepted at another, and many employers do not consider an online degree on par with a regular one.

In the case of teachers of online courses, they can work from where they chose, and thus reduce the problems associated with transportation and commuting. But they also have a bigger cross to bear than face-to-face instructors since they have to motivate and educate students who have no connection with them except virtually. Quite often, the curriculum and syllabus are framed by some people who are too caught up in the technology, while the responsibility of teaching the courses falls on the shoulders of others who cannot grasp the complexity of the medium. Fears of unemployment also exist, as fewer teachers are needed to handle a large number of online students.

The school administration gains the advantages of providing education at a lower cost and of utilizing the latest advances in technology. They can also employ a smaller number of teaching staff. But the initial costs incurred for equipment, security, retraining and consultation tend to be on the high side.