Comment by thih9
The panopticon design was originally intended for schools too, as well as other institutions:
> Bentham conceived the basic plan as being equally applicable to hospitals, schools, sanatoriums, and asylums. He devoted most of his efforts to developing a design for a panopticon prison, so the term now usually refers to that.
https://en.m.wikipedia.org/wiki/Panopticon
Whether it’s friendly and encourages healthy development is another question.
The criticism section of the Wikipedia article focuses on political aspects, but to me, the very idea of keeping someone feeling like they're always watched sounds like psychological torture.