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Nov, 19 2016

​Digital learning: the future of India's education market

The digital learning market is expected to reach USD 5.7 billion by 2020 as the number of internet users is increasing.

India's education market is likely to grow double by 2020.

Due to the rapid expansion of e-learning, replacing the poor infrastructure and resolving the problems like shortage of trained teachers, it seems like fetching the target won’t be difficult.

According to a 2016 report by management consulting firm Technopak, India's education market is valued at USD 100 billion currently while the digital learning market is estimated at USD 2 billion.

The digital learning market is expected to reach USD 5.7 billion by 2020 as the number of internet users is increasing. India's internet user base is estimated to reach 550 million by 2020 with an approximately 40 percent penetration, a significant increase from the 35 percent currently, the report compiled in partnership with Simplilearn said.

The K-12 segment is valued at USD 52 billion with a market share of 52 percent. With the current enrolment of 260 million, the K-12 segment offers the largest and most attractive segment for digital learning providers in India, the report noted. Digital learning in the K-12 space comprises segments such as smart class solutions, online tutoring, online preparation for exams, simulation and virtual reality, STEM learning, AR and robotics and assessment.

The number of private investments in the education sector so far in 2016 was 42, the lowest in the last five years, according to News Corp VCCEdge, the data and research platform of VCCircle.

"These favourable demographics bring enormous economic opportunities. However, the ability to seize these opportunities depend on how successfully the challenges plaguing the Indian education system can be addressed," the report said. The public expenditure on education remains far from 6 percent of the GDP, according to Central Statistics Office (CSO), India.

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