Higher education (HE) is a global enterprise. Its success (or failure) is integral to and a powerful indicator of the knowledge-producing and talent-attracting capacity of nations. But, the landscape in which HE operates today has become extremely complex; there are many more demands and many constituencies, each with an impact on and a voice in shaping HE's role and purpose. Since the millennium, university rankings have become one of these influencing voices. But, they are no longer about enhancing student choice, but increasingly about the geopolitical positioning for universities and nations. The extent to which they are transforming the relationship between the state and HE, with implications for today, are explored in this article. There are three parts. Part 1 looks at the transformation of rankings from a statistical-technical phenomenon influencing institutional decision-making to being a policy instrument driving competition at institutional, national and global levels. Part 2 examines how rankings have impacted on and altered the relationship between HE and the state, looking at the accountability agenda, and the geopolitics of HE. Finally, Part 3 discusses some implications and options in the context of recent social-political developments, and the challenges they pose to HE.