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Educational technology

Could “Ed Tech” be one of the industries that resists well to local and global financial turmoil and thus be a theme to watch closely? John Plassard believes so and delivers his view on this trending topic.

Good morning and welcome to Weekly Insights with John Plassard. In light of a potential global economic slump, many investors are currently trying to establish where to invest their time and skills and are actively seeking recession-proof industries. Although no recession-proof industries exist, there are some that are more resistant and in high demand regardless of local or global financial turmoil. The ed tech could be one of them.

But what is ed tech? Educational Technology is the field of study that investigates the process of analyzing, designing, developing, implementing, and evaluating the instructional environment, learning materials, learners, and the learning process in order to improve teaching and learning. Due to lockdowns and reduced capacity of indoor classrooms during the pandemic, many educational institutions and businesses were forced to embrace new ways of delivering learning and educational programmes, which increased edtech’s appeal.

The value of the global edtech market in 2021 was $106.46 billion, and it's just the beginning. From 2022 to 2030, this market is expected to grow annually by 16.5% and is expected to expand 2.5 times from 2019 to 2025, up to $404 billion in 2025. The quantity of edtech unicorns is increasing at high speed. Over the last two years, their number almost doubled. As of July 29, 2022, there were 36 edtech unicorns globally. Together, they have raised more than $30 billion over the last decade. The total market value of these companies has reached $105 billion. There are eight edtech unicorns in China, 16 in the USA and seven in India.

Finally, even if edtech is the future of education, ed tech is evolving. People are now talking about Tech-Enabled Immersive Learning. Extended reality (XR) is an umbrella term for augmented reality, virtual reality, or the combination of related technology with the real environment. And it's one of the biggest edtech trends happening right now. Google searches for "extended reality" are up 850% in 5 years. Please do not hesitate to ask us for more details.

Thank you very much. Have a great week, stay safe and keep on winning.

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