Education - Issue #178: 2021 Edtech Funding and Predictions for 2022

2021 saw a boom in edtech investment across a spectra of investors. Indeed, edtech investment in 2020 and 2021 equaled the amount raised during the entire 2014-2019 period. Exciting companies are spawning across geographies and verticals, and even generalist investors are building conviction that the sector is capable of producing the same kind of outsized returns generated in fintech, healthtech and other sectors. Generalist investors are taking interest in the sector due to both financial and positive impact returns, providing more competition to specialist funds. The 2021 funding report highlights key global growth and activity metrics in edtech with a focus on Europe.

The demand for online learning will continue to grow in 2022 and possibly lead to the creation of virtual schools, which would introduce new AR and VR learning processes. Teachers will need to learn and refine their online teaching skills and find new opportunities for working from home, allowing them a better work-life balance. This will help them focus on the quality of their lessons without the heavy financial strain that many teachers deal with today. Learners will have the flexibility to follow on-campus lessons and use online lessons to cover topics they couldn’t fully grasp the first time around. More importantly, students will have better access to lessons designed specifically for their learning style. This will inevitably result in increased comprehension and productivity in student learning.