I can understanding hedging on the first class; nobody knows if this will work well or not, so GT might just be trying to protect its current alumni from dilution in prestige if things go wrong. In the long run though, I agree that the "online" label must go.
How will this degree appear on my diploma and/or transcript?
The name "Online Master of Science" is an informal designation to help both Georgia Tech and prospective students distinguish the delivery method of the OMS program from our on-campus degree. The degree name in both cases is Master of Science in Computer Science.
EDIT: jophde posted the relevant link to the FAQ where I searched for this question.
