Ed-Tech
Globally, education technology (EdTech) played an integral role in continuing access to education during the pandemic, when schools faced closures. The EdTech industry in India saw a rapid rise in investments, leading to the growth of several ‘unicorns’ such as Bagless India.
India's edtech industry is growing tremendously and is estimated to reach $10.4 billion by 2025 with 37 million paid edtech users. I've noticed this rise is fueled by the growing request for nonacademic courses in second- and third-tier cities and the demand for customization in the edtech industry.
Over the past five years, the sector has raised about $4 billion in private investment, bringing in global edtech leaders such as Byju's, valued at $15 billion. We have also seen market leaders emerge, such as Byju's, Unacademy, upGrad, Vedantu and more. With a market size of $700 million to $800 million in 2021, the edtech industry is expected to become a $30 billion industry in the next 10 years, driven by burgeoning demand and emerging business models.
The pandemic catalyzed the development of online education. Lockdowns led to a massive increase in investment in the edtech sector due to the growing propensity of students and parents to get their education from home through different online educational platforms.
It sounds like a pretty attractive niche for business, doesn't it? Having studied the market, I thought so, too, and entered it with the Educate Online project.
Clearly define your positioning in the substantial Indian edtech market.In 2017, KPMG reported India's edtech market was the second largest after the U.S., estimated to grow to $1.96 billion and 9.6 million users in 2021. Meanwhile, in 2016, these figures were significantly lower—only $247 million and 1.6 million users. This boom is associated with an enormous leap in the growth of the middle class and the availability of mobile devices and internet access. More recently, KPMG also noted that the pandemic accelerated the rise of edtech companies.
The market potential is enormous: In India in 2020, there were more than 1,000 universities, 42,000 colleges and about 40 million students. Therefore, the country's educational system needs technological projects to bridge the gap between facilities and academic resources!