EdTech Industry Outlook
(In $USD Billions) Market Valuation Outlook
Growth Enablers in the EdTech Market
New Generation of EdTech Startups – Many industry professionals have recognized the immense growth potential of the EdTech sector. Both new and seasoned talent from leading technology companies are now launching EdTech startups, which will contribute to the continued expansion of the industry. Measuring Impact – Measuring impact is of key importance for a successful EdTech business. Entrepreneurs must achieve this by scaling the business for larger market share, fostering diversity for greater acceptance by society, and tailoring outcomes for customer satisfaction. Chatbots and AI Assistants – Chatbots and AI assistants create a virtual classroom experience for students, making it an ideal environment for developing learnings modules. Unconventional Learning Platforms – With technological advancements, the world has shifted from traditional classroom learning to unconventional platforms such as Instagram, YouTube, TikTok, etc. These social media platforms provide an effective way to engage the attention of younger generations. Higher Cost of Traditional Education – Traditional education demands significant capital investment due to its offline nature. This enables the transition towards online alternatives.
$433
$366
$309
$262
$221
$187
$158
$134
2023A 2024E 2025E 2026E 2027E 2028E 2029E 2030E
The global EdTech market is projected to reach $158 billion in 2024 and surpass $433 billion by 2030 , representing a CAGR of 18.3% (2023A – 2030E) . Deployment of accumulated Private Equity dry powder could increase in 2025 as inflation slows and interest rates begin to normalize. Reduction in the cost of providing online education and the rise of opportunities in the space are expected to drive this growth further.
Source: Fortune Business Insights
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