Investment in India’s ed tech market has increased almost fourfold to $1.5 billion in the first nine months of this year compared to last year, as the pandemic continues to drive up demand for online learning.
According to data from Venture Intelligence, this compares to just $409 million invested in Indian start-ups thoughout 2019, Times of India reported.
Both venture capital funds and private equity firms have rained money onto the ed tech segment because of the growing market for online learning, in India and globally.
India is home to some of the world’s biggest ed tech companies, such as Byju’s and Unacademy, which have received financial injections from global investors, such as Tiger Global, Silver Lake and General Atlantic.
Among the deals in the Indian ed tech space, Byju’s – the world’s first ed tech decacorn – Vedantu and Unacademy have also been busy buying start-ups to bolster their portfolios.
WhiteHat Jr, a start-up, was acquired by ed tech decacorn Byju’s for $300 million in August.
It was reported in August that India’s ed tech market had seen a record level of investment activity, with $434 million more injected into start-ups compared to 12 months prior.
With schools and other educational centres having been in a dormant state for several months due to coronavirus-linked lockdowns, ed tech companies have experienced spikes in demand as learning shifted online.
According to HolonIQ, some $4.5 billion of venture funding was poured into ed techs globally during the first half of this year as start-ups sought fresh capital to fund rapid expansions.
Date published: 24 September 2020