The paper aims to show how competence as an educational concept for the 21st century is struggling with theoretical problems for which the concept of Bildung in the European tradition can offer alternatives, and to discuss the possibility of developing a sustainable educational concept from the perspectives of competence and Bildung. The method of the study is conceptual analysis of 'competence' and Bildung. The paper concludes that (1) competence must be abandoned as an educational concept, as its problems cannot be solved due to the lack of a theory of educational content. With competence, the content aspect of education is obscured and hidden from public debate, and human autonomy is threatened. (2) Bildung can be revised as an educational concept by reinventing educational content as subject to interpretation and open debate by autonomous individuals on all levels from the transnational to the classroom. (3) A revised 'mimetic' concept of Bildung can prepare students for the knowledge society, as imagining is a type of higher order thinking essential for innovation and creativity. Instructional content in school is meaningful to students if they are able to imagine the representational object 'as if' it is both subject matter and real to them.