The present paper explores the growing role of venture philanthropy. It also investigates the ideas of educational entrepreneurship and disruptive innovation in influencing the federal and state policies and practices in teacher education in the United States. The authors reject the position that the USA government should invest in the current system of teacher education in order to increase the capacity of the existing institutions that currently prepare teachers. They also disagree with the position that the current teacher education system should be replaced by an alternative based on deregulation and privatization. They suggest the need for transformation in the present system of teacher education, which will improve the quality of teacher education programs. They suggest focusing on helping student teachers learn to enact teaching practices that will promote student learning.