India is one of the largest EdTech markets in the world with startups raising ~US$ 6.7B in the last two years itself. Large fundraising deals combined with consolidation of the sector through M&A activities (51 acquisitions in 2022) has resulted in the emergence of market leaders such as Byju’s, Unacademy, upGrad, Vedantu, among others within India.

While a lot has happened in the sector in India, innovations and disruptions in EdTech continue to happen in other parts of the world as well. In the following sections, we move away from India to deep-dive into global EdTech markets to understand upcoming models in emerging and evolving markets. To understand the key differences between Indian vs Global Edtech, we talk about one specific business model that has gained popularity in India.

The “Freemium” model gives users basic offerings for free and offers advanced courses/services on paid premium upgrades once trust has been established. upGrad, Unacademy or Byju’s (provides free access to content limited for 15 days) are some of the market leaders using this approach.

While the freemium model is not unique to India, globally EdTech players are innovating on other methodologies based on local, geographical context.

China

In China, live-learning and tutoring are widely accepted channels for EdTech players with Yuanfudao and Zuoyebang, two of China’s biggest players focusing on live doubt-solving. While this method has been successful, EdTech in China, took a big hit after the Double Reduction policy which limits after-school tutoring both online and offline for students. 50-80% of revenue for EdTech firms in China came from tutoring – activities which have now been banned.

This setback encouraged the growth of Language Learning tech. Today, China is the largest market for language learning platforms, followed by the US, UK and other European and East Asian countries. VIPKID, the highest funded company in this market, onboards teachers from the US and Canada to make English learning smooth and culturally relatable.

Other prominent models include Online Multi Language Tutoring, Online English Tutoring and AR / VR based English Learning.

Europe 

Europe has seen a significant growth in the number of companies inculcating gamification in education. Gamification as a feature is now an integral part of platforms teaching coding, personal finance, language learning and reading / writing skills.  Notable players in this space include UK-based Kukua and Netherlands-based Pok Pok – receiving US$ 8.53M and US$ 3.9M in funding, respectively. 

Gamification enables inclusivity in education and is proven to be especially beneficial for children with learning disabilities. While US leads on total funding deployed in this segment with ~US$ 1.2B, other markets are now emerging including Spain (~ US$ 70.3M) and Brazil (~ US$ 62.3M). 

Scandinavia 

Norway is one of the leading markets – both in number of startups and innovation being driven around learning. Local EdTech players have used the freemium approach to penetrate markets in the past, including Kahoot! - a gamification-based learning platform, having raised a total of US$ 517.3M. 

Most recently, AI (Artificial Intelligence) and AR (Augmented Reality) technologies are being capitalized by EdTech players in the Scandinavian region. For instance, Iris.ai – an internet-based research assistant raised US$ 2.6M in grant funding and US$ 13M in equity funding. The company uses Machine Learning to review massive collections of research papers or patents to find the right documents and identify the most precise pieces of knowledge. It has its applications in EdTech, Healthcare and Life Sciences. Similarly, Ludenso, a platform built specifically for publishers to create 3D, interactive textbooks – raised a seed investment of US$ 1M 

Africa 

Traditionally under-represented on the EdTech landscape, Africa is emerging as a large, developing market both for local and global market leaders. 

For instance, Smartprof (Morocco based) and Emonovo (Egypt based) have emerged as leaders in the online higher education space. Both players focus on linking students with universities and easing the college selection and scholarship journey. 

Similarly, Classera, a B2B learning platform focussed specifically on emerging markets received US$ 40M. The round was led by Sanabil Investments – owned by Saudi Arabia’s sovereign Public Investment Fund. Other investors were Global Ventures, Endeavor Catalyst, etc. It is one of the largest transactions in the MENA region.