The ed-tech sector in India stands at a crossroads. Over the past decade, it experienced an unprecedented boom, with companies like Byju’s witnessing a meteoric rise.
These companies entered the scene with the promise of revolutionising the Indian education system—a daunting challenge in a country with over 260 million school-going children from diverse backgrounds. Their goal was to bridge the gap between quality education and accessibility.
However, the reality has proven far more complex. The journey of companies like Byjus from triumph to turmoil is a classic cautionary tale.
The company’s growth was phenomenal, from a small tutorial centre to a global tech giant valued at $16 billion at its peak. It offered various online courses with a methodology emphasising personalised learning through videos and interactive lessons.
Aggressive marketing techniques and substantial investments from venture capitalists fueled its rapid expansion. However, Byju’s could not sustain its growth.
Experts attribute its downfall to an over-reliance on high marketing expenditures and deep discounts to attract new clients, leading to unsustainable financial practices. Reports indicate that the company is grappling with severe debt and cash flow issues.
The advantages online learning platforms enjoyed during the pandemic dissipated as schools and colleges reopened and online fatigue set in. While Byju’s is on the road to insolvency, its quick rise and fall are a stark reminder of the ed-tech industry’s vulnerabilities.
Ground realities
One major oversight by ed-tech companies was the failure to account for India’s economic realities. The country has a vast socio-economic divide, with about 67% of the population living in rural areas where monthly incomes are significantly lower than in urban centres, according to National Statistical Office (NSO) data.
Approximately 30% of the middle-class population faces constant financial constraints, struggling to meet additional educational expenses. For many, ed-tech fees, often running into thousands of rupees, are prohibitively expensive.
Moreover, the digital divide in India exacerbates these challenges. The Internet and Mobile Association of India (IAMAI) report revealed that only 34% of rural households have Internet access, compared to 70% in urban areas. This disparity limits the reach and efficacy of ed-tech solutions, disadvantaging significant sections of the population.
Sustainable solutions
For ed-tech companies to achieve sustainability and meaningful impact, they must reevaluate their strategies, considering the stark ground realities of India’s diverse socio-economic landscape. Their role should complement and enhance traditional school and college education rather than seek to replace existing institutions.
Tiered pricing: Ed-tech companies could develop tiered pricing models catering to the varied economic groups within the population. Offering basic content for free while levying a nominal charge for advanced content could be viable. Additionally, partnering with NGOs and corporate entities to subsidise costs would significantly benefit underprivileged students.
Hybrid approach: A hybrid approach that blends online and offline learning could be particularly effective. Digital resources can complement classroom teaching, with offline modes focusing on interactive and experiential learning.
More languages: Ed-tech companies should offer content in multiple languages tailored to local and regional curricula, making learning more accessible and relevant for students from different backgrounds and regions.
Training teachers: Investing in teacher training is crucial, as teachers are the backbone of the education system. Ed-tech companies should provide continuous professional development opportunities, empowering teachers to integrate technology into their pedagogy.
Learning centres: Establishing community learning centres in areas with limited internet access can also bridge the gap, offering online classes, digital libraries, and interactive sessions to those without personal gadgets or internet connections.
The shift towards hybrid
Unacademy’s decision to tie up with Allen and Akash Institute illustrates the shift towards sustainable growth in the ed-tech sector. Pratham, a renowned NGO in India, has also successfully implemented a hybrid learning model. Combining traditional teaching methods with digital tools, Pratham’s approach includes tablets loaded with educational content, community-based learning camps, and regular teacher training sessions. This model has significantly improved literacy and numeracy skills among children in rural areas.
The hard reality is that the ed-tech bubble has burst. Many companies have failed, underscoring the need for an inclusive approach to digital education for sustainability. By adopting affordable pricing models, hybrid learning strategies, localised content, teacher empowerment, and community learning initiatives, Ed-tech companies can create lasting, positive impacts.
The future of education in India lies in collaboration—between ed-tech firms, government bodies, schools, and communities. Only by working together can we ensure that the digital education revolution truly benefits all segments of society, bridging gaps and building a stronger foundation for the future.
The promise of ed-tech can be fulfilled not through lofty valuations and aggressive marketing but through thoughtful, inclusive strategies that address the real needs of India’s diverse and economically varied student population.
(The author is a professor and the dean of Christ University, Bengaluru)