There is a saying in the software security industry that (I'm paraphrasing from rusty memories) a system is secure if the cost of hacking it is higher than the value it protects.
Each system being completely distinct from another means that the cost of hacking the average student goes up by 9000 (from the article, Canvas is used by 9000 schools).
Still not saying that rolling out your own is the preferred solution, but the idea is not as ludicrous as it would seem, and should definitely be entertained and discussed, at least.
As a faculty member at a large university…I have a deep respect for the impossible job of university IT departments.
We originally rolled our on LMS decades ago. When we switched to canvas we kept the home brew running for five years past its expiration date because faculty refused to remove their files. Finally each one was manually moved by IT for the recalcitrant old faculty.
They are large databases yes but they do a lot of small and large things that that analogy glosses over
Well not with that attitude
They used to, in the pre-cloud/SaaS era; and they were much simpler and better UX than the slop that they're renting today, because the actual users were not far from the developers.
The amount of corner cases and performance requirements during rush times (semester start) made it really infeasible for a university to roll their own.
* German universities have this funny system where 51% of such boards are controlled by the professors and the rest is made up of other employees/staff and students. They call it academic participation.