Adoption of EdTech has dramatically increased as many companies offer their platforms for free during the pandemic, resulting in a global online learning experiment like never seen before. Growth in Online Education is a long-term trend. The COVID-19 pandemic has acted as a catalyst, resulting in an immediate expansion of the paid user base and a parallel fall in customer acquisition costs.
The IMF is projecting a 4.2% global economic contraction, considerably worse than what was felt following the Global Financial Crisis in 2008. The road to recovery, post COVID-19, may have multiple periods of social restriction with a staggered return from isolation, varying in time and geographically.
In response, education has had to move online largely with video and digital tools that enhance engagement and efficacy. The science of learning is moving EdTech beyond simple digitalisation, towards digital transformation. Reconfiguration and optimisation of delivery powered by AI is the next step.
Demand from state educational institutions to address digital resources and upskilling will be restricted due to limited government funding in a recessionary environment. Consumer behaviour is likely to be a key driver impacting supply-side business models, the demand for reskilling, and supplemental teaching and training with an increased universe of users.
The next wave will see the proving out of the most effective pedagogical solutions and the accelerated use of tools that harness AI and deep learning.
Cairneagle has co-authored the EdTechX 2020 Global Report in collaboration with EdTechX and IBIS Capital.
The full report explores a holistic view of the EdTech market drivers, including COVID-19, segmented across education phases, product types, geographies and more to highlight where the opportunities and challenges lie.
To purchase the report click here.