Education technology: Revolution in the classroom

Digitalization in the classroom. Modern technology is changing learning.

Young people need new skills to use modern technologies such as digitization, automation, and artificial intelligence. A revolution is therefore under way in education technology – one that is shaping the world of teaching and learning, and represents a booming market for investors.

Automation is changing job profiles

The young generation is confronted with major challenges. Digitalization, automation, and artificial intelligence are making ever greater inroads into the world of work. Job profiles are changing fundamentally in the course of what is essentially an inexorable trend.

That makes it all the more important to acquire skills that are difficult to automate, such as creativity, problem solving, and emotional intelligence. Companies in the education technology space are concerned with the question of how these competencies can be successfully taught on a lasting basis.


The education tech revolution

Source: Credit Suisse

Innovative approaches to make learning fun

Education tech focuses on developing a digitalized, playful approach to learning. That's because Generation Z is used to simulated stimuli and experiences from the digital world and expects interactivity.

Companies are seeking to respond to this with innovative digital processes. The aim is to ensure that the needs of students are met and that the learning process is simplified at the same time. This enables students to be more deeply involved in the material when learning with augmented reality books, while animated learning materials enable learning content to be personalized. 

Education tech reduces costs

In addition, the use of modern technology could help to significantly reduce education costs. This would enable more students to gain access to education in the first place, and, in addition, encourage lifelong learning.

But education technology could also be useful beyond the classroom by helping students develop a healthier relationship with technology. This could help counter the growth of smartphone dependency and health implications.

The market for education tech continues to grow

The opportunities for companies in education technology are enormous, and the sector is booming. Market researchers expect spending in this area to rise from the current US 150 billion or so to over 340 billion by 2025.

That is reflected in the investments being made by venture capitalists. Estimates suggest they pumped around USD 8 billion into education tech startups in 2018 – twice as much as in the previous year.

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