Summary
- As we explained at the beginning, the biggest difference between a public university and a private university in the USA is funding.
- A state university is primarily funded by state taxes, a public university primarily from federal taxes, and a private university is funded by tuition, endowments, and donations.
- If the university gets more money from the state than from the federal government, it is called a “State” university.
Public universities vs. Private universities: Choose What’s Right For You
If you’re an Indian student who’s considering the USA for a Master’s degree, then this article is for you. We cover one of the most basic choices any international student has to make: public university vs. private university.
There are also “state universities” in the USA, but we won’t cover those.
The reason is that state universities charge international students the same amount as public universities, but have less prestige, market value, facilities and job opportunities.
The main difference is where the universities get their funding from.
A state university is primarily funded by state taxes, a public university primarily from federal taxes, and a private university is funded by tuition, endowments, and donations.
As a result, state universities have lower fees for in-state residents, public universities have lower fees for U.S. citizens, and private universities are the most expensive overall.
However, there are several upsides that we need to talk about, for both public vs. private university choices.
So then, public university vs. private university: which is the one for you?
Let’s find out.
Difference between public universities and private universities
Public universities, often funded by state governments, are known for their affordability and diverse programs. These are still a significant investment, especially for international students, but they are lower cost than private universities. On the other hand, top private universities in the USA offer specialized programs, smaller class sizes, and (often) really strong alumni connections.
Here is a table that explains the main differences between a public university vs. a private university in the USA at a glance:
Aspect | Public Universities | Private Universities |
Funding | Funded by the government. | Funded by tuition, donations, and endowments. |
Tuition Fees | Lower tuition, more affordable. | Higher tuition, but more scholarships may be available. |
Size and Diversity | Larger student population with more diversity. | Smaller student body, often more selective. |
Focus Areas | Wide range of programs, including research and practical fields. | Focus on specialized programs and advanced research. |
Class Sizes | Larger classes, less personal attention. | Smaller classes, more one-on-one interaction with professors. |
Alumni Networks | Large alumni networks, less exclusive. | Smaller, more prestigious alumni networks. |
Cultural Integration | Greater cultural and student diversity. | Tighter-knit, often more homogeneous communities. |
Research Facilities | Broad research opportunities funded by the government. | Advanced, specialized research with cutting-edge technology. |
Job Opportunities | Strong links to local industries. | Strong global corporate and industry connections. |
Location | Often in suburban or rural areas. | Often in urban areas, closer to internships and opportunities. |
Now, let’s take a more in-depth look at each of these differences.
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Funding and Ownership
As we explained at the beginning, the biggest difference between a public university and a private university in the USA is funding.
A public university is funded primarily by the government. It could get funding wholly from the federal government, wholly from the state government, or from a mix of both.
If the university gets more money from the state than from the federal government, it is called a “State” university. However, the federal government usually gives a lot of money to universities over a certain size.
That’s why most state universities are smaller than public ones because the main reason for their lack of federal funds is their student body size. Anyway, the government money lets a public university charge lower tuition fees, even for international students.
One thing to note though, like we saw during COVID-19, was that if there are ever funding cuts, the first to lose funding are the international students at a public university.
Private universities rely on tuition fees, endowments, and private donations for funding. This means they get little to no funding from the government of the USA. In turn, this also means that a private university can function independently of government oversight. This lets private universities be more flexible and innovative in their programs.
However, this independence comes with higher tuition fees. The good news is that private universities also offer competitive merit-based scholarships for international students. And it’s also possible to find good private universities with low fees if you take the time to search.
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Tuition Fees
Another big difference between a public university vs. a private university is the amount of tuition paid.
For international students, public universities are often more affordable. While tuition fees for non-residents are higher than for in-state students, they are still generally lower than private universities. For example, tuition at the University of California, Los Angeles (UCLA) is significantly less than at a private university like Stanford.
Private universities have higher tuition fees, often exceeding $75,000 annually. However, many private institutions have huge financial aid funds, as a result of a wealthy private donor pool and endowments/ grants.
So, even international students can get funding, including scholarships for their masters abroad, which can offset the costs.
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Class Sizes and Student-Faculty Ratio
The next big difference between a public university vs. a private university is the class size.
Public universities typically have larger student bodies, which leads to larger class sizes. This is especially true of undergraduate programs.
At the master’s level, class sizes become more manageable, but are still larger than those at a private university. For master’s students, class sizes may be more manageable, but still tend to be larger than those at private institutions. Thus, in a public university, you would typically get less individual attention from the professor, and fewer chances for close mentorship.
On the other hand, a private university will almost always have a smaller class size and a lower student-faculty ratio. This means better access to professors, more individualized attention, and more chances for research collaboration and teaching assistantships.
The intimate, close environment that private universities offer is particularly beneficial for an international student. It has less competition and helps you adjust well to a new culture without being overwhelmed.
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Prestige and Reputation
For the most part, a private university will always be more prestigious than a public university. However, some public schools like the University of California and University of Texas systems are extremely prestigious. They are well-respected on a global scale and have excellent career opportunities.
On the flip side though, private universities crush both country and global ranking lists. You have heavyweights like Harvard, Stanford, Yale, and MIT leading the way in this section. That is why attending a top private university will almost guarantee you a solid, high-paying career path after your graduation.
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Career Opportunities
A public university will always have a strong tie to the local industry, and public sector employers. This will be helpful for the international student who wants to work in the USA after their graduation. However, preference at the public university job fairs will always go to citizens and residents over the international body,
A private university, nine times out of ten will have a global industry network. You’ll have the best companies coming to your campus and will have loads of prestigious partnerships. Especially if you’re aiming for MNC or international placements, a private university will always outdo a public one.
And with that, we’ve ended the section on the differences between a public university vs. a private university.
List of top public and private universities
Here are the top 20 public universities in the USA, as per the 2025 QS World University rankings.
QS Rank 2025 | University Name | City and State | Founded | Intl. Undergrad Tuition/Year | Intl. Masters Tuition/Year |
12 | University of California, Berkeley (UCB) | Berkeley, CA | 1868 | $48,465 | $34,098 |
42 | University of California, Los Angeles (UCLA) | Los Angeles, CA | 1919 | $46,326 | $32,588 |
44 | University of Michigan-Ann Arbor | Ann Arbor, MI | 1817 | $55,002 | $52,580 |
66 | University of Texas at Austin | Austin, TX | 1883 | $40,032 | $22,966 |
69 | University of Illinois at Urbana-Champaign | Champaign, IL | 1867 | $35,110 | $32,892 |
72 | University of California, San Diego (UCSD) | San Diego, CA | 1960 | $46,374 | $31,770 |
76 | University of Washington | Seattle, WA | 1861 | $40,740 | $30,726 |
89 | Pennsylvania State University | University Park, PA | 1855 | $38,651 | $26,302 |
89 | Purdue University | West Lafayette, IN | 1869 | $31,014 | $29,646 |
114 | Georgia Institute of Technology | Atlanta, GA | 1885 | $33,794 | $30,578 |
116 | University of Wisconsin-Madison | Madison, WI | 1848 | $39,150 | $25,336 |
130 | University of California, Davis | Davis, CA | 1905 | $46,356 | $31,886 |
152 | Michigan State University | East Lansing, MI | 1855 | $41,932 | $28,998 |
154 | Texas A&M University | College Station, TX | 1876 | $40,087 | $21,164 |
155 | University of North Carolina at Chapel Hill | Chapel Hill, NC | 1789 | $37,360 | $30,248 |
178 | University of California, Santa Barbara (UCSB) | Santa Barbara, CA | 1909 | $46,731 | $31,755 |
200 | Arizona State University | Tempe, AZ | 1885 | $31,200 | $27,048 |
203 | University of Minnesota Twin Cities | Minneapolis, MN | 1851 | $35,962 | $28,845 |
208 | The Ohio State University | Columbus, OH | 1870 | $35,019 | $35,544 |
215 | University of Florida | Gainesville, FL | 1853 | $28,659 | $27,335 |
And here are the top 20 private universities, as per the same 205 QS World University rankings:
QS Rank 2025 | University Name | City & State | Year Founded | Intl. Undergrad Tuition/Year | Intl. Masters Tuition/Year |
1 | Massachusetts Institute of Technology (MIT) | Cambridge, Massachusetts | 1861 | $58,240 | $56,719 |
4 | Harvard University | Cambridge, Massachusetts | 1636 | $55,587 | $56,748 |
6 | Stanford University | Stanford, California | 1885 | $57,693 | $54,315 |
10 | California Institute of Technology (Caltech) | Pasadena, California | 1891 | $60,864 | $56,394 |
11 | University of Pennsylvania | Philadelphia, Pennsylvania | 1740 | $56,212 | $57,284 |
16 | Cornell University | Ithaca, New York | 1865 | $62,456 | $56,550 |
21 | University of Chicago | Chicago, Illinois | 1890 | $61,179 | $58,968 |
22 | Princeton University | Princeton, New Jersey | 1746 | $55,780 | $57,000 |
23 | Yale University | New Haven, Connecticut | 1701 | $61,140 | $55,500 |
32 | Johns Hopkins University | Baltimore, Maryland | 1876 | $59,700 | $58,720 |
34 | Columbia University | New York City, New York | 1754 | $66,880 | $65,524 |
43 | New York University (NYU) | New York City, New York | 1831 | $60,438 | $58,168 |
50 | Northwestern University | Evanston, Illinois | 1851 | $62,391 | $60,660 |
58 | Carnegie Mellon University | Pittsburgh, Pennsylvania | 1900 | $60,000 | $58,000 |
61 | Duke University | Durham, North Carolina | 1838 | $62,688 | $57,900 |
79 | Brown University | Providence, Rhode Island | 1764 | $62,680 | $59,925 |
125 | University of Southern California (USC) | Los Angeles, California | 1880 | $63,468 | $61,464 |
141 | Rice University | Houston, Texas | 1912 | $52,895 | $51,400 |
171 | Washington University in St. Louis | St. Louis, Missouri | 1853 | $61,750 | $58,196 |
243 | Dartmouth College | Hanover, New Hampshire | 1769 | $63,278 | $60,750 |
Note: While QS rankings provide a good indicator of a university’s reputation, they don’t necessarily reflect what’s best for you personally. Choosing the right university isn’t just about being at the “best-ranked” institution—it’s about finding one that aligns with your goals and aspirations.
Factors like:
- The strength of the alumni network in your field
- Job opportunities and placement records in the industry you want to enter
- Return on investment (ROI) for the program
These are harder to evaluate through rankings alone. That’s where GradRight’s university-search platform comes in.
How GradRight helps you choose better?
GradRight uses 8 million+ data points across 40,000+ programs and 4,000+ universities worldwide to help you compare institutions based on what truly matters to you.
With GradRight, you can:
- Filter universities by criteria such as scholarships, cost, and post-graduation job opportunities.
- Get recommendations tailored to your career ambitions and financial preferences.
- Make a confident, informed decision instead of relying solely on rankings or generic advice.
Now that you understand how to choose the right university for your unique goals, let’s take a closer look at the similarities between public and private universities.
Similarities between public and private universities
Here are some similarities that you might not have considered:
- Both provide research opportunities for students, especially at the graduate level.
- International students can and often do get aid at both public vs. private universities.
- Both offer various extracurricular activities, clubs, and organizations for student engagement.
- Both types of institutions often host events, workshops, and guest lectures.
- You will often find a robust alumni network with reach across the country/ world at both public and private universities.
- All public and private universities should have modern facilities. For example, libraries, labs, and sports complexes, to support academics and recreation.
- Both prioritize diverse academic programs that cater to a variety of career paths and interests.
- Both public and private universities are required to meet accreditation standards, ensuring the quality of education provided.
As you can see, public and private universities have a lot more in common than is apparent at first glance.
No matter which one you choose, you’ll have a good education, a great student life, and solid career opportunities.
But now, speaking of choosing, how would you go about that? That’s what our next section is about.
How to choose between public vs private universities: Which is better?
When choosing between a public vs. a private university, ask yourself these 5 questions:
- What is my Budget for Tuition and Living Expenses?
If your budget is limited, a public university might be better, as they typically offer lower tuition fees for international students. However, private universities often provide generous merit-based scholarships and financial aid.
- Is the Location and Cost of Living Manageable?
Some public universities located in urban areas may have higher living expenses compared to rural private institutions. Factor in housing, transportation, and daily living costs when making your decision.
- Which University Excels in My Field of Study?
Research whether the university has strong programs, faculty, and resources in your desired field. Public schools are often renowned for STEM and large-scale research, while private counterparts lead in business, law, or specialized disciplines.
- What Career Support and Networking Opportunities Are Available?
Consider the university’s connections with industries, alumni networks, and internship opportunities. Being closer to hubs like New York, D.C., or Silicon Valley can have a huge advantage.
- Am I Interested in Research or Teaching Assistant Roles?
Public universities are known for extensive research funding and larger projects. Private ones may offer smaller but highly specialized research opportunities.
Frequently Asked Questions
1. Which is better, public or private university in the USA?
It depends on your goals and needs. Public universities often provide lower tuition fees and diverse student bodies. Private universities may offer smaller class sizes, personalized attention, and stronger networking opportunities.
2. Which is better, public or private university in the UK?
Both have merits. Public universities like Oxford and Cambridge are renowned for research and history, while private universities can offer specialized programs and flexibility but often at a higher cost.
3. What are the disadvantages of studying in a private university?
Private universities are usually more expensive and can have smaller, less diverse student populations. Additionally, they might not always have the same level of public funding for large-scale research projects as public universities.
4. Is Harvard private or public?
Harvard is a private university.