he growth of EdTech startups has been nothing short of remarkable, with their innovative solutions and disruptive technologies revolutionizing the way we teach and learn. According to Statista, it is anticipated that in 2025, worldwide spending on EdTech (educational technology) will significantly escalate in several crucial areas. Expenditure on augmented and virtual reality is projected to rise from 1.6 billion US dollars in 2018 to 12.6 billion by 2025.
And as 2023 takes off, the EdTech industry is expected to continue its rapid growth, with new players entering the market and established startups reaching new heights.
In this exciting era of innovation, we take a closer look at the disruptive EdTech startups that are making waves in the industry, their growth stage, funding, and global reach. Get ready to be inspired by the game changers who are transforming the face of education as we know it.
How Edtech Startups are Addressing the Challenge of Education Innovation
Innovation in education is essential to improving engagement and increasing student learning outcomes. As technology advances, it becomes imperative for educators to focus on creative solutions that prepare students with cutting-edge skills and provide personalized approaches across multiple channels. EdTech solutions have been beneficial for college students with 4 out of 5 reporting improved grades.
Unfortunately, many educational institutions struggle to keep up with developing trends because of budget limitations or a lack of technical support within their system.
EdTech startups are beginning to fill this gap by offering innovative learning tools at reasonable prices. These education companies understand the growing need for technologically advanced systems that seamlessly integrate into a learning academy’s existing infrastructure. They offer immersive learning, gamification, industry-specific learning, digital assessments, seamless classrooms, big data, future-ready design, virtual human guides and facilitators, and intelligent curation.
Here are five education startups bringing innovation to the table.
GoStudent is an EdTech offering on-demand tutoring for K-12 students. It provides personalized learning experiences and connects students with certified teachers worldwide in real-time using AI-enabled technology. 58% of K-12 teachers view EdTech more positively compared to pre-pandemic days.
GoStudent offers various courses to meet different educational goals. Whether it's preparing for tests like PSAT or SAT/ACT, studying geometry, or mastering French language skills, the platform can reliably handle it.
The major selling point of this educational startup is its focus on personalized learning. Through GoStudent's exclusive mobile app, students can access an AI-assisted tutor and additional course material for any subject at the touch of their fingertips.
The tutors are carefully selected to provide each student with a customized experience tailored to their needs. With continuous progress tracking from both the human tutor and algorithms, GoStudent ensures that every lesson has maximum impact in minimal time.
Course Hero is an online learning platform providing educational resources, including course materials, study guides, and tutoring services to students. It serves as a library of user-generated content that includes textbooks, flashcards, practice problems, and answers supplied by the community of millions who use Course Hero.
The key selling point of Course Hero is its extensive library of over 30 million course-specific study resources contributed by a community of students and faculty. The platform also offers expert tutors who can assist with homework questions and virtual learning tools to make studying more effective.
Kahoot is an educational game-based learning platform used in schools and businesses around the world. It allows users to create multiple-choice quizzes, surveys, discussion boards, or games, which can then be shared with others for instant feedback. Kahoot offers innovative EdTech ideas and fun ways for students and colleagues to engage in collaborative learning experiences.
Questions are arranged into "games" that consist of four rounds where players answer each question before advancing to the next round using their device (e.g., smartphone). At its core, Kahoot is about social interaction through playful competition. It’s all about having fun while people learn!
Dreambox Learning is an online game-based learning platform for students in grades K-8 that provides personalized math instruction. It uses adaptive technology to give individualized lessons and provide real-time feedback. This helps children gain a deeper understanding of key skills, stay on track with study goals, identify areas needing more work, measure progress, and improve their academic performance overall.
The major selling point of Dreambox Learning is its incorporation of adaptive learning technology. Dreambox Learning’s multisensory approach helps make complex concepts accessible for learners at all levels through colorful visuals and speech recognition software.
Labster is a virtual lab simulation platform that allows students to safely and accurately run experiments without needing physical equipment. Labster labs enable learners to engage with scientific inquiry through an immersive, state-of-the-art 3D environment combined with guided instructions from teachers or mentors.
They give users access to gadgets such as microscopes, pipettes, and analytical instruments, including tools unavailable in traditional laboratories. Unlike most other laboratory teaching methods, it can be accessed online 24/7 from anywhere at any time.
The Most Innovative EdTech Startups Advancing Education
The best EdTech startups of 2023 have managed to stay ahead of tech changes to meet learners' needs as they adapt to the ever-shifting educational demands. Let's talk about these educational tech companies that are significantly contributing to advances in EdTech and remarkable trends they are pushing forward.
Cohort-based Learning - EducateMe, Maven
Cohort-based learning is an emerging trend in modern education which has become increasingly popular due to its unique approach of blending traditional methods with innovative technology. This type of learning involves connecting a group of learners (a cohort) and providing consistent support throughout their learning journey.
In contrast to other formats, such as self-paced learning, it emphasizes collaboration between students by creating virtual classrooms that promote increased communication through chat rooms or discussion boards among peers. Some companies employing the cohort-based system are highlighted below:
EducateMe (Cohort Learning Platform for Digital Academies)
EducateMe is a B2B cohort-based learning management system (LMS) platform that helps to structure learning programs, automate live session management, and track student progress. With EducateMe's Kanban-style board for keeping tabs on tasks, you can cut the time you spend on course administration by as much as 60 percent.
This edtech startup is all about creating game-changing solutions to bring learning to new heights for scholars of all ages and backgrounds. Even with the ongoing Russian-Ukraine war, this Ukraine-based company continues to grow and prosper, believing that knowledge is the key to a brighter future for its country and the world. Consequently, they have built a community of learners and educators dedicated to cultivating a culture of inquisitiveness and inspiring students to take charge of their own education
Recent funding for EducateMe came from Google for Startups in the form of non-equity assistance of an undisclosed sum. Not only does this platform incorporate Zoom, but it also has the web-based Jisti client built right in.
Maven was formed in 2020 by Gagan Biyani of Udemy and Wes Kao of AltMBA to bridge the creator economy and the edtech industry. The company promoted and marketed courses taught by innovators and opinion leaders and delivered in cohorts (i.e., cohort-based learning). Teachers designed the small-group lessons, and students did the heavy lifting, betting on the concept that anyone with knowledge could instruct.
After two years in business, Maven recently received a series A funding bringing the company's funding to a total of $25.1 million in available funding from about 11 investors, including Sahil Lavingia, Naval Ravikant, Andreessen Horowitz, Arlan Hamilton, First Round Capital, Li Jin, and more. Maven is shifting its focus from its initial pitch to courses developed by star employees within tech companies (B2C). On Fast Company's 2022 list of the World's Most Innovative Companies, Maven ranked first among educational institutions.
Microlearning/Bite-sized Learning - GoodCourse, 7Taps
The term "microlearning" refers to acquiring knowledge by digesting it in bite-sized pieces. Microlearning sessions often last less than 10 minutes, while the shortest ones can last as little as one. Compared to traditional learning methods, microlearning has many advantages. Time constraints are cited as the primary barrier to employees participating in workplace learning initiatives. The key idea underlying microlearning is its condensed duration. Around 10 minutes is the very maximum time involved.
It also raises students' interest levels, which is especially useful for longer study periods where even the most focused learners tend to lose interest. People are more likely to sit through training or education if they know they'll be out shortly. Next, with bit-sized education, students you've learned since repetition is a key factor in retaining information. Some innovative microlearning platforms include;
In 2021, Chris Mansfield and Omar Mughal launched GoodCourse, a mobile-first micro-learning platform that makes e-learning available to non-desk employees and other remote audiences. The platform's short-form L&D content is linked with explanatory films in the style of TikTok, which are made available on the learners' mobile devices to make learning more accessible and fun.
RLC Ventures and RTP Capital led the €671.6k ($750,000) pre-seed fundraising round for the edtech startup. Other investors include Henry de Zoete, Tom Blomfield, Matt Robinson, and Victoria Van Lennep, among other entrepreneurs.
7taps was created in 2020 by Ezra Charm and Kate Udalova. 7taps provides you with a set of learning cards that you can arrange in various ways to create your self-paced classes. A lesson can be distributed through links, emailed, texted, or embedded into a website, app, or learning management system.
Community-based Learning - Disco, Mighty Networks
As online education became more common, many students reported a decline in their academic performance and willingness to study. There's no denying the awkwardness that might come from learning everything from scratch behind a screen. As a result of the unique circumstances, however, online education has become the standard. Because of this need, educators and course designers developed online learning communities.
Learning communities are specialized gathering places and spaces where novices and authorities alike can learn from and share their perspectives on any topic under the sun. When social learning concepts and experiences are combined with eLearning tools, an interactive and productive learning environment can be created. Let’s go ahead and discuss some learning communities below:
Disco, which comes from the Latin word for "learn," was developed to facilitate the delivery of a live, interactive learning experience for groups of students at once. Disco allows for consistent branding, real-time video and chat, and expansion beyond a single course into a larger learning community.
Founded in 2020 by Candice Faktor and Chris Sukornyk, Disco has had a lot of interest since they successfully completed their seed round in 2021. GSV Ventures and other participants recently led a CAD 19 million (USD 15 million) Series A fundraising round for the firm. Thus bringing the total known funding amount to USD 19.7 million.
Mighty Networks allows you to set up a Space with a feed or chat (or both!) to facilitate a cohort-based learning environment. Simple courses with well-organized information can be made as well. Drawing attention to important information, people, or events is simple in a Mighty Networks Space.
In a Series B fundraising round headed by Owl Ventures, the creative and brand community-building platform Mighty Networks has raised $50 million. Lucas Venture Group, BBG Ventures, Intel Capital, etc., joined this funding round. Mighty Networks, based in Palo Alto, has already raised $66 million since its 2017 founding.
Tech-based Bootcamps - SV Academy, CareerKarma, & Codecamp
The concept of bootcamps originates from a method used by the American military to train personnel, which is focused on achieving the highest performance in the shortest possible time. This type of intensive training imparts the necessary knowledge for a particular technological specialization, which is in demand in the job market. To achieve optimal training in such a brief period, small classes, a concentrated agenda and a total immersion based on practice are the keys.
SV Academy - Bootcamp for Tech Sales
Since its inception in 2017, SV Academy has provided over 400 SaaS companies with access to a global network of highly experienced sales and customer success professionals. Candidates with little to no technical knowledge can spend weeks at SV Academy gaining the skills they need to start a career in Sales or Business Development.
Over the course of three investment rounds, SV Academy has brought in $11.5 million. The company's most recent funding round was a Venture - Series Unknown round, which closed on December 17, 2019. Fifteen individuals or organizations have contributed to SV Academy's funding, the most recent being from Sound Ventures and Owl Ventures.
CareerKarma - Coding Bootcamp
Career Karma was developed in 2018 by Ruben Harris, Artur Meyster, and Timur Meyster to assist students in locating training programs that meet their needs and budgets and connect them with coaches and mentors who can help them succeed.
The San Francisco-based firm helps IT industry newcomers find educational opportunities. From weekend-long seminars to intensive bootcamps to professional certificates to, most recently, university-level degrees with official recognition.
Career Karma has raised a total of $51.9 million, with the most recent round of funding being a $40 million Series B. The latest funding comes after the company closed a $10 million Series A in 2020. New and previous investors, such as Y Combinator, Google Ventures, Emerson Collective, and Softbank, all contributed to the most recent investment round led by Top Tier Capital Partners.
Gamified Learning - Duolingo
Gamified learning is an approach to education that utilizes gaming elements such as points, levels, and rewards. Gamification can be used to increase learning motivation by creating an environment that encourages exploration and curiosity through activities like problem-solving tasks and simulations. Gamification is used for training by 70% of businesses in the top 2000 companies globally.
Duolingo is an online language-learning platform. It is one of the most popular gamified learning platforms available today.
Duolingo works by teaching language learners through game-based activities and interactive exercises. It allows users to practice their reading, writing, speaking, listening comprehension, vocabulary building, and grammar skills in the languages they are learning.
A user is rewarded with points for completing tasks like answering multiple- choice questions or translating text from one language into another. These rewards help keep users engaged while reinforcing correct answers to ensure long-term retention of material - a key component of successful language acquisition.
AI Adaptive Course Delivery - Area9 Lyceum
AI-driven adaptive learning algorithms track learners’ behavior over time using data from usage analytics tools such as questionnaires or quizzes. It learns about learners’ needs on an ongoing basis and adjusts the pacing of learning materials accordingly.
Adaptive learning seeks activities likely to help build competency in targeted topics by selecting tasks based on analytical insights derived from combined past performance assessments across multiple users. The adaptive learning market is projected to grow to a value of $9.11 billion by 2028.
Area9 Lyceum is an AI-driven adaptive course delivery platform that provides students with personalized study and learning experiences. It offers a suite of interactive, digital educational solutions aimed at improving learning outcomes. They also provide users with expertly curated content from some of the most respected thinkers in any given field while focusing on active problem solving as a cornerstone of modern education.
Through its advanced Artificial Intelligence technology, Area9 adapts to individual learners’ needs by providing instant feedback so they can learn faster while mastering more difficult topics with more efficiency.
Text to Speech - Speechify
Text-to Speech (TTS) technology is helpful in e-learning by providing an audio version of the text presented on screen or alongside it. It makes content more accessible for those who prefer hearing over reading. TTS tools are also great for language learning as they highlight correct pronunciation and encourage repetition, which is vital when trying to master new vocabulary words.
The technology offers assistance with understanding written material and helps reduce strain caused by long periods of staring at computer screens. This allows learners to give their eyes some rest while still engaging with educational materials throughout the day.
Speechify is an AI-powered tool that uses neuroscience technology to help people learn and retain more of what they hear. It converts text from books, articles, documents, etc., into high-quality audio with human voices from around the world in over thirty languages.
Speechify also includes features like personalized speed control and focusing tips to optimize the listening experience no matter how complex or long your content might be.
AR/VR in Education - Aristek Systems
In recent years, virtual reality (VR) and augmented reality (AR) have become increasingly popular for e-learning. They provide an immersive learning experience that can’t be achieved with traditional methods of instruction or 2D media such as video lectures and textbooks.
VR/AR technologies allow students to explore their field of study in realistic 3d environments from any location. They help learners to gain a much deeper understanding than they would if they were simply reading texts out loud or watching recorded lectures on YouTube.
AR/VR tools can help engage learners more actively by immersing them in topics rather than just presenting information through textbooks. When visuals are used with sound effects, it brings lessons alive resulting in easier understanding and better retention over a longer time.
Aristek Systems offer an AR/VR-enabled eLearning Platform that combines the latest technologies in learning, collaboration, and virtual reality to create immersive experiences for students.
The platform helps improve engagement with learners by allowing them to experience content through multiple perspectives. Learners can experience course material as if it were physically present within their own environment, or use visuals like live 3D models of key concepts and objects. These tools make course materials much easier to understand.
Machine Learning - Knewton
Machine Learning (ML) is a branch of artificial intelligence that deals with algorithms and models used to create systems from data. ML has become an increasingly popular tool for improving the effectiveness of eLearning, enabling students to receive tailored instruction. By leveraging machine learning algorithms, educational tech companies support personalized learning experiences through data analysis that considers real-time student performance and adjusts course content accordingly.
Knewton is an online platform and adaptive learning technology provider. Knewton uses machine learning to adapt the instruction provided and customize it for each student. This allows students to better understand materials by providing customized information adapted to their unique understanding of a subject area. The platform uses data analytics to constantly evaluate each student's learning and modify the instruction accordingly.
As the EdTech industry continues to evolve, we’ll no doubt see more innovations in products and services that serve all levels of learning.
At this time, it is impossible to accurately predict who will be the most prominent players among EdTech startups in 2023 or what strategies they could come up with. However, one thing remains clear: technology has a powerful impact on education - providing personalized learning experiences while equipping learners with powerful skills.
With continued innovation from forward-thinking EdTech startups, educators and partners can look forward to even greater possibilities.
How do you grow an EdTech startup?
Start by creating a solid plan, developing an MVP, and marketing. Reach out to potential users and partners for feedback so you can keep improving your platform until it's irresistible. Finally, focus on scaling up with resources like capital investments or strategic partnerships that help propel growth.
What does an EdTech do?
An EdTech uses technology in education to help students learn more effectively and efficiently. This can include using online platforms, virtual learning environments (VLEs) and simulations, automated assessment grading systems, and interactive software programs that appeal to different learners.
Which is the most valued EdTech startup?
The most valued EdTech startup is Byju's, with a valuation of $22 billion. What does EdTech stand for?EdTech stands for Educational Technology.