TEXT-EXTRACT 2 filename2.txt August 29, 2019 Catherine A. Graham Chief Financial Officer 2U, Inc. 7900 Harkins Road Lanham, MD 20706 Re: 2U, Inc. Form 10-K for the fiscal year ended December 31, 2018 File No. 001-36376 Dear Ms. Graham: We have limited our review of your filing to the financial statements and related disclosures and have the following comment. In our comment, we may ask you to provide us with information so we may better understand your disclosure. Please respond to this comment within ten business days by providing the requested information or advise us as soon as possible when you will respond. If you do not believe our comment applies to your facts and circumstances, please tell us why in your response. After reviewing your response to this comment, we may have additional comments. Form 10-K for the fiscal year ended December 31, 2018 Notes to Consolidated Financial Statements Revenue Recognition, Accounts Receivable and Allowance for Doubtful Accounts, page 66 1. You disclose that your Short Course Segment (a.k.a. Alternative Credential Segment) recognizes the gross proceeds received from the students and shares contractually specified percentages with your university clients, for providing short course content and certification, which are recognized as curriculum and teaching costs on your consolidated statements of operations and comprehensive loss. Please tell us how you determined you were the principal permitted to report gross in these arrangements. We refer you to ASC 606-10-55-36 through 55-40 and 25-18(f). Catherine A. Graham 2U, Inc. August 29, 2019 Page 2 In closing, we remind you that the company and its management are responsible for the accuracy and adequacy of their disclosures, notwithstanding any review, comments, action or absence of action by the staff. You may contact Amanda Kim, Staff Accountant, at (202) 551-3241 or Stephen Krikorian, Accounting Branch Chief, at (202) 551-3488 with any questions. Sincerely, FirstName LastNameCatherine A. Graham Division of Corporation Finance Comapany Name2U, Inc. Office of Information Technologies August 29, 2019 Page 2 and Services FirstName LastName