Ten charts that explain the Global Education Technology Market

Everything you need to know about the Global Education Technology Market in 10 charts

Patrick Brothers
Feb 24 · 4 min read

HolonIQ recently released our 2019 Global Education Outlook, below are the top ten takeaways, in charts. Download all of the below as a slide deck here.

1. Education is a $6T industry growing to $8T by 2025.

Source: www.holoniq.com

Expenditure on education and training from governments, parents, individuals and corporates continues to grow to historic levels and is expected to reach USD$10T by 2030.

2. Driven by 350m more secondary and 150m more post-secondary students by 2025.

Source: www.holoniq.com

By 2025 there will be half a billion more school and university graduates in the world than today, driven primarily by population growth in developing countries. How will current models of education deliver to the scale, quality and speed required?

3. However, education is starved of capital compared with other sectors.

Source: www.holoniq.com

Innovation requires capital. Governments are struggling to fund education to previous levels and education is not drawing on enough private capital to fund the innovation that’s needed. Public-Private Partnerships will be critical to supporting future growth, innovation and access to education.

4. It is also grossly under digitised, with less than 3% of global education expenditure on technology.

Source: www.holoniq.com

As a sector, education is a digital laggard with less than 3% of overall expenditure allocated to digital, presenting a serious challenge given the scale of what’s to come.

5. Digital spend is changing fast, though — forecast to grow to $342b by 2025.

Source: www.holoniq.com

In 2018, education spent $142b on digital. While this is forecast to grow to $342b by 2025, it is still less than 5% of overall expenditure.

6. Advanced technologies will embed into education delivery and learning processes.

Source: www.holoniq.com

Applications of advanced technology in education and learning will begin to hit their strides by 2025 with AR/VR and Artificial Intelligence becoming increasingly integrated into core education delivery and learning processes. Most likely starting in the corporate and non-accredited sectors.

7. At the same time, Venture Capital invested $8b in 2018, up from $2b in 2014.

Source: www.holoniq.com

Venture Capital investors can see the favourable dynamics of the global education and training market, investing $8b in 2018, up from $2b in 2014. This is set to grow, but is not evenly spread across the globe.

8. A key driver of growth in VC investment is China, making up over 50% of all Global VC investment in 2018.

Source: www.holoniq.com

China, with the largest education market in the world, has led education VC investment growth over the past five years. China now makes up over 50% of all Global VC investment in education, the USA 20%, India, 10% and Europe 8%.

9. VC investment drives IPOs. We expect 100+ education companies with Market Cap’s > $1B by 2025.

Source: www.holoniq.com

Venture Capital investment ultimately drives more exits in the form of public listings. In 2015 there were 10 listed education companies with Market Cap’s > $1B, growing to 30 in 2018 and expected to be 100+ by 2025.

10. However, the devil is in the detail when it comes to education.

Source: globallearninglandscape.org

Education is a complex system. When it comes to understanding market dynamics and which technologies, business models and parts of the sector are likely to grow or shrink, it pays to understand the nuance. The Global Learning Landscape taxonomy, consisting of 50 clusters of innovation helps to unpack this complexity.

Source: globallearninglandscape.org

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