The process of changing U.S. higher education institutions along a corporate model has been going on for several decades. It consists of changes, some open, some obscured, on various fronts: the erosion of tenure by attrition; the simultaneous increase in the use of contingent faculty; the rise in tuition; the dramatic decrease in federal and state aid to universities and state colleges and the outsourcing of campus bookstores, food services, and custodial work. In this article, the author discusses some of these aspects of the process of corporatizing American higher education and their effects on students, faculty, and the content of education, as well as the general functioning and future of higher education. She presents the steps taken by some faculty against the corporatizing of American higher education. She suggests that persons interested in working on this issue might want to support the work of the joint OAH/AHA committee, formed in 2000, that has moved the issue of the two-tier labor market from a marginal concern of the professional organizations into a core issue. The committee has worked on various ways to improve the situation, setting up model contracts and defining best public policies. (Contains 5 figures.)