IS EDTECH FINALLY POISED TO BREAK INTO MAINSTREAM EDUCATION?
COVID-19 crisis caused a watershed moment for EdTech solution providers in India, who have been focusing predominantly on supplementary education and upskilling only. A series of unprecedented and hastened digital experiments on public education systems have widened the scope of EdTech further to break into mainstream education
COVID-19 emerged as a dominant force in the digitalization across all the sectors, but the speed of the shift was quite unprecedented and all-encompassing in the public education system. Although India was not entirely uninitiated to the concept of technology-aided education or learning, the spotlight on the EdTech platforms just grew brighter when educational institutions were forced to switch to online modes of education amidst the pandemic crisis.
India: A prominent EdTech hub
EdTech platforms in India have played a significant role in bridging the learning gaps and workforce skills gaps by making supplementary education (K12) and technical education (post-K12) more accessible. Over the past couple of years, the growing popularity of online education has offset the growth in the offline coaching space.
India has also emerged as a prominent EdTech hub in the world. If we look at the global EdTech phenomenon in respect of some key parameters like VC Funding, the number of startups, unicorns, M&A, etc., it is dominated by only a few countries such as United States (Highest number of EdTech enterprises), Sweden ( The highest proportion of EdTech companies securing funding), China (Highest venture capital investment from 2014-18). India has also been riding the EdTech wave, as it has the second-highest number of EdTech startups and the Indian EdTech platform Byju’s with a valuation of over $10bn also comes out on top when compared with other EdTech unicorns list.
The COVID-19 crisis has fast-tracked things further and created a tipping point for the global EdTech phenomenon including India especially, as India is also home to one of the world’s largest base of school- going students.
EdTech in India stands at a tipping point
The Indian EdTech market which was earlier projected to be in the range of $2.8-3.2bn is now pegged at $3.5bn by 2022 by a recent Redseer study forecast. The K12 EdTech-addressable market is projected to be worth $1.7bn by 2022, up more than six-fold from $265mn in 2019, while the market for post-K12 is set to grow 3.7 times to be a $1.8bn market. The study forecast projects strong growth across all major K12 segments (Grades 1-5, Grades 6-8 and Grades 8-12), with the fastest growth possibilities in Grades 1–5.
The New Education Policy (NEP) 2020 also recognizes the importance of having access to alternative modes of quality education whenever and wherever traditional and in-person modes of education are not possible. It also laid special emphasis on leveraging technology for enriching the teaching and the online learning experiences. Hence it goes without saying that EdTech will play an instrumental role in the policy implementation and it will unleash a plethora of opportunities for the EdTech platforms to grow and focus on mainstream education.
Tech: A key enabler for education in the New Normal
Although the sudden shift to the online mode of education may appear as a crisis management ploy
amidst pandemic, many students and institutions are likely to continue online education in varying capacities, even in the post-pandemic era as well for the sheer amount of flexibility, accessibility, customized learning options, and most importantly the affordability it allows, in contrast, to physically attending school and colleges.
Cutting- edge technologies and solutions such as Artificial Intelligence (AI) Machine Learning (ML), Augmented Reality (AR) Virtual Reality ( VR), online classrooms and collaboration tools, as well as assistive technologies can be a great enabler for traditional offline as well as online learning. Many fear that the sudden unplanned move to online learning with little time for preparation, zero training and insufficient internet bandwidth issues will result in poor user experience and is less likely to become sustainable in the long run. But contrary to popular belief, a new blended learning model with significant benefits is more likely to emerge from this sudden shift, making more rooms for the EdTech innovation which will make the online learning experiences as smooth and as seamless as possible in turn.
AI & ML solution- AI and ML can play a significant role in increasing efficiency through automation of repetitive and menial tasks, and in bridging the gaps between teaching and learning through infusing personalization to a greater degree.
Course aggregating platform, Get Me a Course uses an AI- driven Career Path Recommendation Engine to help individuals identify the courses and careers best suited for their skill sets. Another EdTech social enterprise, ConveGenius is using AI to offer personalized and adaptive learning solutions even for the kids who don’t have access to a super-fast Internet connection or smart devices. Nestor AI by LCA Learning is a unique AI program and e-learning class assistant uses students’ webcams to examine eye movements and facial expressions to find out whether they’re attentive to a video lecture.
AR & VR solution- These two technologies can potentially make online education into an immersive, interactive, and engaging learning experience. A survey by the XR Association along with Perkins Coie and Boost VC offered an ambitious projection for the education segment. When asked which sectors would experience the most disruption outside of gaming and entertainment, 38% ranked healthcare first, followed by education (28%), workforce development (24%).
Many AR/VR startups play XR content to the education segment. VR-based EdTech startup
Veative Labs provides interactive STEM modules for distance learning and virtual classrooms. AR-based EdTech startup Playshifu provides educational play experiences for kids helping build STEM and other foundational skills in them. Collaboration solution- Demands for online collaboration tools such as Zoom, Cisco Webex, Microsoft Teams, Google Meet, etc. skyrocketed during the COVID-19 crisis. As the outbreak disrupted learning in physical classrooms, the educational institutions started using online meeting and collaboration tools to stay connected with students, to conduct classes, examinations, and other
collaboration needs.
Where the internet bandwidth and device availability became an issue, pre-recorded teaching videos were also provided to the students through Youtube and study materials were provided through email and WhatsApp.
The silver lining
Digital India drive along with the availability of low- cost data and devices had opened the floodgates for EdTech sectors in India. The underlying focus on tech-aided education and digitalization of the education sector by NEP was a much-needed shot in the arm as well.
The EdTech phenomenon in India is primarily driven by B2C demands, but demands from the B2B segments and C2C segments are on the rise as well. Now this sudden shift of the education sector to digital during the pandemic has widened the scopes for EdTech platforms to innovate for the mainstream education domain also and flourish further.
The ongoing pandemic crisis has boosted the profile of EdTech to a greater extent making it a hot area for venture capital ( VC) investments, while startups across other sectors have borne a major brunt in terms of drastic fall in the number of investments and deal sizes. In the first half of
2020, VCs have shown a clear preference for EdTech startups by splurging around $795 million (25 deals) compared to $296 million in H2 2019 (23 deals) and $108 million (19 deals) H1 2019, reveals Venture Intelligence research data.
But there are some challenges as well. On the one hand, this unplanned and sudden shift with no training made it difficult for the teachers and students to switch to digital learning modes, it also exposed the stark realities of the digital divide between rural and urban, between rich and poor on the other and also the far-reaching consequences of it on the education. A survey conducted by Oxfam India across five Indian states reveals that over 80 per cent of children enrolled in government schools did not receive any form of education since the lockdown, while only 20 per cent teachers of government schools were trained for delivering classes online.
Although it throws an immense challenge for the EdTech solution providers to scale up and go deeper into the Tier-2, 3, 4 cities, remote and rural areas, but it can be turned into a golden opportunity to co-innovate and transform the mass education space by working along with technology providers, device manufacturers, and telecom and connectivity solution providers. The way RJio disrupted the telecom sector with cheaper data and mobile devices, the education sector in India also awaits a similar success story with bated breath.