It's somewhat ironic... if a University's CS department was charged with developing and maintaining the system, what an awesome learning tool it would be. CS students would maybe even be invested in the outcome by having to eat their own dogfood and then really appreciate it what it's like in the real world.
It would be amazing and a great teaching tool, BUT the vast majority of universities don't have the money or IT departments to keep such a thing running. So the idea is a non-starter at most institutions.
CS != Software Engineering
I had a lot to learn about actually developing software after I finished my CS degree.
We can see what that looks like in PLATO, which started in the 1960s. https://en.wikipedia.org/wiki/PLATO_(computer_system) .
"Courses were taught in a range of subjects, including Latin, chemistry, education, music, Esperanto, and primary mathematics. The system included a number of features useful for pedagogy, including text overlaying graphics, contextual assessment of free-text answers, depending on the inclusion of keywords, and feedback designed to respond to alternative answers."
"PLATO III allowed "anyone" to design new lesson modules using their TUTOR programming language, conceived in 1967 by biology graduate student Paul Tenczar."
"The largest PLATO installation in South Africa during the early 1980s was at the University of the Western Cape ... For many of the Madadeni students, most of whom came from very rural areas, the PLATO terminal was the first time they encountered any kind of electronic technology. Many of the first-year students had never seen a flush toilet before. There initially was skepticism that these technologically illiterate students could effectively use PLATO, but those concerns were not borne out. Within an hour or less most students were using the system proficiently, mostly to learn math and science skills, although a lesson that taught keyboarding skills was one of the most popular. A few students even used on-line resources to learn TUTOR, the PLATO programming language, and a few wrote lessons on the system in the Zulu language."
The full PLATO system included grade books, attendance tracking, and class scheduling, as I recall. Perhaps a University of Illinois alum can say more.
I would really like to know how much more useful the current systems are over, say, PLATO in 1992, when evaluated for pedagogy and course management benefits.