In the age of unlimited free flow of information, it is quite ridiculous that academic institutions still exist - unless their purpose is something else than studies. Education as privilege laundering has pretty much played out its part, since degrees are much more accessible to the lower born classes who were never supposed to have access to the same easy and well paying careers as the rich.
Their purpose is also research. For many, that's their primary purpose.
Where is research done? Where do you have colleagues, labs, research resources, etc.? Where do students go for education?
While vocational training is vital, a good education is so much more than that.
Try setting an toddler in front of an iPad and see how well the toddler learns how to read academic papers and the limitations of unlimited free flow of information would become quite evident.* While there have always been autodidacts, education is still a needed role to delegate for most, especially those who aren't privileged to have parents who already possess both an education and the time to personally propagate it.
*(Actually you probably shouldn't.)