Back in about 1988, I took a required history class from a local community college. (To help make up for the fact that it took me four semesters to get through the two semester calculus course.) The course consisted of...
1. A high-production-value TV program transmitted on the local PBS channel.
2. In-person mid-term and final tests.
3. "Teaching assistants" (it was a local community college; I'm not sure what their exact status was) with office hours for questions.
It...worked. I learned the material, such as it was. As such, it was somewhat better than the worst in-person classes I experienced.
On the other hand, there was no engagement with the material. You read the textbook, watched the TV, and went in to take the tests. End of story. There were no asides---having a teacher take part of a class to look at some current event from the viewpoint of the class, having the teacher answer a completely off-the-wall question that leads to a good discussion. There were no discussions, in fact. I'm sure some of the students who knew the material got together to review for the test or something, but honestly, I don't see why. The whole experience was aimed at the lowest common denominator with no way for the teacher to dial it up for some or all students.
It worked, but it was a worse learning experience than many 500 students classes that I had from enthusiastic, engaged teachers.
I suspect that's why the model hasn't caught on, at least at the level of decent schools---people have been saying (and attempting) that video would take over from lectures literally since Edison invented the movie. (I'm sure it's more appropriate for the degree-mills of the world, though.)