A Promising Investment in a Bleak Environment

Many investors are having difficulty seeing beyond the economic demolition program being carried out by the US Biden administration*, in order to find potentially profitable investment targets. One sector that seems to stand out is the educational technology sector. Thanks to broad school shutdowns in response to Covid, technological alternatives to traditional education have begun sprouting.

There is growing dissatisfaction with traditional schooling, from elementary levels through secondary and into the university. Whether or not schools have truly turned away from education and endorsed indoctrination instead, there is an impression that schools are not doing their jobs. New educational technologies are not the real answer to this problem, but they may help — and they appear to be a potentially profitable investment in a world where governments seem intent to destroy as many profitable investments as possible.

According to the EdTech Market: Global Industry Analysis, Trends, Market Size, and Forecasts up to 2027 report from ResearchAndMarkets.com, the global educational technolgy market was valued at around $85 Billion in 2021 and is expected to reach approx $218 billion in 2027, growing with a CAGR of around 17% during the forecast period from 2021-2027. When a tech sector is expected to more than double its size over the next few years, it means the rest of us need to pay attention.

Three key trends appear to be driving this growth, guaranteeing EdTech will stay in the business spotlight throughout the course of this decade. 

The first of these three major trends is personalized learning. Ever since the dawn of the Internet, the ability to connect directly with anyone anywhere in the world has been a feature for marketers, but in education, it’s not just a feature — it’s the fulfillment of a dream…

Gamification is the second major trend that will drive educational technology farther and faster this year. One of the age-old challenges for educators has been trying to increase a student’s enthusiasm for learning in a world that is constantly presenting all kinds of media-based distractions. The idea of turning education into gaming has reached peak-level attention. Teachers have long been turning lessons into games for students, but now companies are turning gamification of education into an art form. Moreover, the appeal of gamification transcends the typical K-12 audiences, expanding into secondary education and beyond.

Some games teachers are currently using include Kahoot!, Pictionary, and even Minecraft: Education Edition. After all, what better way is there to engage students than harnessing the same games they play in between lessons?

The third trend driving educational technology forward is AI-driven teaching programs. As AI begins to transform business and industry, it is also changing the way students, teachers, and even school administrations interact. Some of the AI modules being used include automatic grading systems and AI teaching assistants that can be programmed to answer basic — and some not-so-basic — questions for students. 

Trends Driving Educational Technologies
Educational Technology Market Projection

Bright people are being drawn to EdTech startups in the early 2020s, just as bright people were drawn to various tech sectors such as biotech and telecom (including the WWW) in the 1990s, and to personal computers and microchips in the 1970s and 1980s.

Education technology (EdTech) solutions are expected to evolve in line with the advances in the latest technologies, such as the Internet of Things (IoT), Artificial Intelligence (AI), Augmented Reality (AR), and Virtual Reality (VR), and contribute significantly to the market growth. The integration of AR and VR in EdTech solutions helps offer an interactive experience to the learners. It allows learners to explore and seamlessly connect with abstract concepts, and subsequently driving student engagement. On the other hand, the integration of blockchain technology allows end-users to store and secure records of students and learners, thereby enabling educators to analyze the consumption patterns of the material offered to the learners and make data-driven decisions.

Educational Technology Market

The way that most western populations have meekly bowed to their governments’ drastic overreach during the ongoing Chinese coronavirus pandemic, reveals the lack of backbone, rise of groupthink, and general dumbing down of school systems across the western world. Much of the damage has been done, but some revitalization of populations can occur if children are separated from the toxic and abusive environment of corrupt educational systems.

A lot of the talk surrounding educational technologies is hype, of course. But just as there was a solid core inside of all the decades-old hype about universal telecomputing, so is there a strong kernel of truth hiding inside all the hype about EdTech. Once the technologies begin to grow above their trendiness and dependency upon government contracts, a more sustainable growth rate should reveal itself.

Educational Technologies Have Potential to be Disruptive

“Disruptive Innovation describes a process by which a product or service initially takes root in simple applications at the bottom of a market—typically by being less expensive and more accessible—and then relentlessly moves upmarket, eventually displacing established competitors.” – Clayton Christensen

Theory of Disruptive Innovation

Disruptive innovations take some time to displace traditional ways of doing things, but when they do they often open the door to a number of other disruptive innovations that piggy-back onto the original innovation. Consider the Apple products, the PC clones, the lithium battery, and the crude original internet of the 1980s and early 1990s. They all opened the door to $hundred billion dollar companies and $trillion dollar markets.

We live in an age when machine learning is considered more important than human learning, because it is often assumed that machines will continue taking over responsibility for human enterprise without limit. Certainly that is the way that our elites are behaving at all levels of government planning and finance, if you can read between the lines.

Everything is being dumbed down to a lower common denominator in traditional human education and culture, while machine learning technologies are being pursued to their “limits.” You can get a glimpse of one possible result of this pursuit in Yuval Noah Harari’s book Homo Deus.

We have the option of “going with the flow” and watching such a thing happen. Or we have other choices that we could do instead. One of those other choices involves building islands of competence along the “Dangerous Child” line of thinking. Such islands of competence will network together with the aim of taking advantage of the best human enhancing technologies that can be found. The ultimate goal is the building of parallel shadow micro-infrastructures that can take over if national infrastructures fail for lack of competence and due to an overabundance of corruption.

The current market for educational technologies offers only the seeds and eggs of future human mind enhancing technologies. But this market holds the potential for significant economic growth and investment profitability.

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