India has 17,000+ EdTech companies, 7 unicorns , second only to the United States’ 13: Report
The Indian EdTech industry, the third most funded globally after the US and China, was valued at USD $7.5 billion in 2024. It is expected to grow at a compound annual growth rate (CAGR) of 25.8%.
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India, known for its rich educational heritage, is home to the historic Nalanda University, established in the 5th century BCE and recognised as the world’s first residential university. Education has always been central to the country’s growth and development.
An EdTech report by Internet and Mobile Association of India (IAMAI) says that in recent years, India has seen a remarkable shift towards digital education, now hosting over 17,000 EdTech companies, including seven unicorns—second only to the United States’ thirteen as of December 2024. The Indian EdTech industry, the third most funded globally after the US and China, was valued at USD $7.5 billion in 2024. It is expected to grow at a compound annual growth rate (CAGR) of 25.8%, reaching USD $29 billion by 2030. Overall, there are more than 1300 funded companies in EdTech in India, with $1.1 Billion funded in the last two years. The total funding so far has been about $14 Billion.
Rising aspirations among middle-class families, a competitive job market, and increased awareness of global education standards have driven a shift towards alternative learning methods. EdTech platforms have tapped into this trend by providing interactive, engaging, and personalised learning experiences tailored to individual students.
The National Education Policy (NEP) 2020, one of India’s most transformative reforms, has further boosted the sector by encouraging digital and adaptive learning. The policy has also fostered collaboration between the government and EdTech companies. With 50% of the population under 30 and higher education enrolment rising from 24% in 2017 to 28% in 2022, India offers a vast and largely untapped market for EdTech innovation.
However, the industry has faced challenges since its funding peak in 2021. Changes in consumer demand, reduced investor confidence due to a global economic slowdown, and post-pandemic market adjustments have created headwinds. Despite this, emerging technologies like generative AI, gamification, and augmented/virtual reality provide new opportunities to revitalise the sector by delivering more personalised and adaptive learning experiences for students.
