Posted by AGORACOM-JC
at 11:16 AM on Thursday, September 5th, 2019
SPONSOR: Betteru Education Corp.
aims to provide access to quality education from around the world. The
Company plans to bridge the prevailing gap in the education and job
industry and enhance the lives of its prospective learners by developing
an integrated ecosystem. Click here for more information.
BTRU: TSX-V
How Byju Raveendran Built A $5.5 Billion Business With His EdTech Startup
Byju’s has become the rage among students across India, enrolling 35 million to its math and science tutoring app. Photo: Gayatri Ganju Â
Byju Raveendran got the first inkling he might have a future in education as a teenager tutoring 11th and 12th graders clamoring for his help to pass their exams. Back then, he was just an 8th grade math whiz.
In 2006, Raveendran launched what has turned into the world’s most valuable education technology business, Byju’s. From its start offering test-prep classes, Byju’s has become the rage among students across India, enrolling 35 million to its math and science tutoring app. In July, it received funding from a group of investors that included Qatar’s sovereign wealth fund and valued it at $5.5 billion—and Raveendran has a 26% stake in the company.
Raveendran’s wife, Divya Gokulnath, 33 is cofounder and a director on Byju’s board.
Photo: Gayatri Ganju
Today In: Asia
“This is not a business which I started as a business,†says
Raveendran, who plans to use his new funding to expand his $200 million
(sales) company into Australia, the U.K. and the U.S. “It’s a passion
which ended up becoming a business.†His timing appears ripe: the global
education technology, or edtech, industry will grow 61% from $349
billion in 2018 to $562 billion by 2022, according to U.K.-based
market-research firm Technavio. The latest $150 million infusion led by
Qatar Investment Authority brings the total funding received by Byju’s
to more than $1 billion, following a $31 million investment in March led
by U.S. private equity firm General Atlantic and China’s Tencent, and $540 million last December from South Africa’s Naspers and the Canada Pension Plan Investment Board.
Raveendran, 38, is the son of teachers. After earning a bachelor’s
degree in mechanical engineering in Kerala, India, he took a job in
Singapore in 2001 as a globetrotting engineer at a shipping company.
During trips back home, he helped friends prepare for the
ultra-competitive admission test for India’s elite business schools, the
Indian Institutes of Management. Just for fun, he took the exam twice
himself, scoring in the top 1% each time.
Raveendran got the first inkling he might have a future in education
as a teenager tutoring 11th and 12th graders clamoring for his help to
pass their exams.
Photo: Gayatri Ganju
In 2005, Raveendran quit his job and returned to India to teach
business-school applicants full-time. Within six weeks, he had 1,200
students. He soon started traveling to nine cities. But by 2009 he
started broadcasting lessons via satellite. Raveendran soon realized
that his aspiring business-school students were struggling with math and
science that they should have learned at a much earlier age. To help
redress that gap, in 2011 he launched Think & Learn, the company
that is Byju’s parent.
“The first thing that struck me about Byju was that he was passionate about teaching,†says Ranjan Pai,
the billionaire doctor who controls the education and healthcare
focused Manipal Group. “But when he asked me for $8 million, I nearly
fell off my chair.†Impressed by Raveendran’s confidence, Pai obliged
him and in 2012 became one of Byju’s first two investors, buying a 26%
stake alongside a former software executive. He still retains 1% of
Byju’s.
India appears fertile ground for edtech: the country has 260 million
school-age children struggling through a system rife with poorly
qualified teachers in an increasingly tech-savvy economy starving for
skilled workers. “You have here a proliferation of smartphones,
almost-free bandwidth, ubiquitous internet access and ease of digital
payments,†says Krishnan Ganesh, who cofounded the online education
company TutorVista in 2005, then sold it to U.K.-based Pearson in 2011,
before Byju’s bought part of it from Pearson in 2017. “And you have
parents who will spend a disproportionate amount of their disposable
income on education.â€
Byju’s has raised more money than any other edtech startup.
Source: Holoniq
In 2015, Byju’s released its first app, a math and science tutor for
6th to 12th graders and followed it up two years later with one for 4th
and 5th graders. In addition to providing video lessons, the app gauges
whether the student has understood the concepts. Based on the response,
the app takes the student either to the next level or back to basics.
“This is what teachers can never do,†says Raveendran. “They’re unable
to assess how much each student has really understood any topic.â€
Within three months of launching, the app had been downloaded two
million times. Today, Byju’s has enrolled 35 million students, with 2.4
million paying between $150 to $200 each for an annual subscription.
Byju’s $200 million in annual sales is still tiny compared to the $3.9
billion at Japan’s Benesse Holdings, Asia’s largest listed education
company. Yet it’s already profitable—earning more than $2 million in its
latest fiscal year—and growing fast. Spurred on by a recent focus on
students in smaller cities, Byju’s expects revenue for the year ending
next March to more than double to $440 million.
Byju’s inevitably faces a proliferation of challengers, including Vedantu, which is backed by China’s TAL Education Group
and offers live, one-on-one tutoring, as well as Toppr, which provides
online test preparation. And while China’s own edtech players—such as
VIPKid—are not direct rivals, they compete for the same investment pool.
Byju’s is now the fourth most-highly valued startup in India, after
mobile payments and e-commerce firm Paytm, hotel operator Oyo and
ride-hailing app Ola.
Photo: Gayatri Ganju
So far, Byju’s has grabbed the largest chunk of money. In 2016,
Byju’s landed $50 million for an undisclosed stake from a group that
included U.S. venture capital firm Sequoia Capital and Mark Zuckerberg and wife Priscilla Chan’s Chan-Zuckerberg Initiative,
marking that fund’s first investment in Asia. In 2017, China’s Tencent
invested $40 million on its own. Byju’s is now the fourth most-highly
valued startup in India, after mobile payments and e-commerce firm
Paytm, hotel operator Oyo and ride-hailing app Ola, after the latest
Qatar-led investment round.
Raveendran hoped to stay ahead of the competition by broadening his
product offering and expanding into new markets. This year, Byju’s plans
to add English and social sciences to its curriculum. And in January,
Raveendran paid $120 million to buy Osmo, a U.S. maker of education
games. In June, he launched a cobranded app with Disney called the
Disney Byju’s Early Learn app, aimed at India’s 5 to 8-year olds. “We’ll
be expanding with more products, more grades and more markets,†he
says.
Byju’s is already working to widen its youth appeal: In Bangalore, a
team of 1,100 animators, gamers, developers and teachers are developing
lessons for tech-savvy 3 to 8-year-olds that feature locally developed
animated characters. “They have some X factor which kids like,†says
Raveendran.
Posted by AGORACOM-JC
at 10:29 AM on Thursday, August 29th, 2019
SPONSOR: Betteru Education Corp.
aims to provide access to quality education from around the world. The
Company plans to bridge the prevailing gap in the education and job
industry and enhance the lives of its prospective learners by developing
an integrated ecosystem. Click here for more information.
BTRU: TSX-V
Vedantu secures $42M funding led by Tiger Global & WestBridge Capital
The investment will enable Vedantu to popularize its online live tutoring sessions in small towns and cities across the country.
Vedantu’s current goal is to boost activations from tier 2 and beyond cities, aided by lowering the average price of its live tutoring classes
ETtech
Edtech platform Vedantu has raised $42 million in fresh funding, led by New York-based Tiger Global Management and WestBridge Capital.
The investment will enable Vedantu to popularize its online live
tutoring sessions in small towns and cities across the country.
Existing
investors Accel, Omidyar India and TAL Education also participated in
the round, along with Prince Maximilian of Liechtenstein who is also the
CEO of banking and asset management firm LGT group.
“Majority of
this fund we are planning to deploy into building awareness about this
category and our brand. Investments into our technology and platform
will be the second pillar enabled by this round,†said Vamsi Krishna,
cofounder and CEO.
Vedantu claims 15 million users access free
content on its platform, while 150,000 pay for its live tutoring
programme. The company said it currently recuperates the cost of
acquiring a customer within a year, and is hoping that users extending
their subscriptions over many years will drive profits.
The
company’s current goal is to boost activations from tier 2 and beyond
cities, aided by lowering the average price of its live tutoring
classes, Krishna said. Almost 80% of users who access Vedantu’s free
content are from tier 2 and smaller cities, while 55% of its paid users
are in small towns.
“Vedantu has been the first to reimagine the concept of
tutorials in the country and create an exponential shift towards the
online LIVE Tutoring model. Vamsi and team are extremely focused on
improving the educational outcomes of students using their unique online
offering,†said Anand Daniel, partner at Accel Partners.
Including
the latest funding, Vedantu has raised $58 million in total across
three funding rounds. The investment comes at a time when India’s
ed-tech space is seeing traction, with giants such as Byju’s achieving a
valuation of $5.4 billion in its latest round.
Posted by AGORACOM-JC
at 9:22 PM on Wednesday, August 21st, 2019
BTRU: TSX-V
By Brad Loiselle, President/CEO and Kate O’Neil, Director International Partnerships, betterU
Dreamers,
visionaries and sustainability enthusiasts imagine a world where
everyone is equal, where the water runs clean, where a child never goes
without a meal, where people of different countries, religions, and
cultures respect each other’s beliefs, and where the word hate is no
longer part of our vocabulary. This is a world we all want for our
children, but unfortunately this utopia is never going to exist if we
don’t join and commit to building a better future for all.
In
2015, the United Nations defined a set of 17 global development goals
that, if achieved, would have the power to eradicate poverty, fight
inequality and stop the climate crisis we are now faced with. The 2030
Agenda for Sustainable Development was created as a “universal call to actionâ€
to inspire us to come together to enact change that will result in a
safer and more sustainable planet for future generations. In September
of that same year, 193 UN member states adopted the Agenda and committed
to supporting the 169 targets identified in the global framework of
action.
The challenges to achieving the Agenda
Many
critics of the 2030 Agenda for Sustainable Development will tell you
that the goals are failing and that there is no evidence of
transformative change in any of the 17 focus areas. Truth be told, it
was exciting and encouraging to see so many UN nations and world leaders
sign their commitment to achieve the Agenda but as we gather speed
towards 2030 it is evident that something critical is missing; something
hindering progress on a global scale.
When
we look at those who are leading the charge, we see world leaders who
are talking about why this global movement is important but then calling
on other governments, educators, corporations and private enterprises
to take action, to collaborate and work together to put in place systems
and solutions. Many global leaders emphatically committed to the cause,
but it is becoming clearer that most do not fully grasp both the
importance of the Agenda or the measures required to act and impart
change.
Upon
review of the Agenda, it is evident that there has been a breakdown
along the way. Firstly, the goals were developed without clear plans for
execution, division of labour, or assignment of responsibility not only
from the people that have committed to the movement, but their
respective governments. The Addis Ababa Action Agenda supported the SGDs
by taking the steps to identify action areas and implementation, but
the statements within the document are vague and do not hold any one
person or group accountable for seeing each action item through. The
goals then become more inspirational and generalized statements that do
not demonstrate an understanding for how to achieve results country by
country, which is fundamental for global adoption and advancement.
Secondly,
timelines for accomplishing the goals span more then a decade and much
can change over that time. A country’s political leadership, governance
and policies can change every few years. Leaders who were initially
instrumental in establishing and monitoring commitments for the Social
Development Goals, along with relationships that were formed as part of
the vision to achieve the goals may no longer be stakeholders in the
fight for global action. Furthermore, by the time some or all the SDGs
are realized, many of the worlds most vulnerable will not be around to
benefit. Change needs to happen now!
Finally,
when looking at the actions taken over the years towards impacting
change, it is evident that many are working in silos, ignoring the
importance of collaboration. SGD17 – Partnerships for the Goals,
identifies the importance of collaboration by aiming to “strengthen the means of implementation and revitalize the global partnership for sustainable development (*1).†Furthermore, it has been stated that “the
Global Goals can only be met if we work together. International
investments and support are needed to ensure innovative technological
development, fair trade and market access, especially for developing
countries. To build a better world, we need to be supportive,
empathetic, inventive, passionate, and above all, cooperative (*2).â€
When we take a step back and review what has been accomplished since
the Agenda’s inception it is fair to say that many, if not most of the
targets under SDG17 have not been addressed on a global scale and that
the call for collaboration and partnerships has not been answered.
With
a timeline of 15 years to fulfill the targets set out in the SDGs, but
no executable action plan or singular governing body to hold each of the
signatories and their countries accountable, achievement of the goals
becomes less tangible.
Access to education – A focus on SDG4
As
the years passed and people got to work to achieve the targets set out
in the global goals, the importance of one goal started to come to
light; Goal 4 – Quality Education. According to UNESCO, “Education
is a human right and a force for sustainable development and peace.
Every goal in the 2030 Agenda requires education to empower people with
the knowledge, skills and values to live in dignity, build better lives
and contribute to their societies (*3).â€
Education has the potential to spark creativity, innovation, and
critical thinking in an individual, paving the way forward to solving
the problems faced in the world today and in the future.
The Global Goals for Sustainable Development states that “Education
liberates the intellect, unlocks the imagination and is fundamental for
self-respect. It is the key to prosperity and opens a world of
opportunities, making it possible for each of us to contribute to a
progressive, healthy society. Learning benefits every human being and
should be available to all (*4).â€
However, the barriers to making quality education accessible to all are
complicated and overcoming them has proven to be a challenge for many.
In
order to solve SDG4 we must call on government and key stakeholders in
every country to promote the welfare of their people by supporting all
targets outlined in the Agenda. When it comes to education specifically,
efforts as defined by the SDG4 goals need to be made in several areas;
· Government
and industry need to enact policies that will provide compulsory free
access to primary and secondary education as well as pre-primary program
development and support with a focus on literacy and numeracy.
· Government
and industry must create opportunities that encourage learners to
continue into post-secondary education. Removing financial barriers
though scholarships and subsidies and focusing support on the most
vulnerable demographics will encourage learners to continue their path
of lifelong learning.
· Governments
and industry must commit to developing supportive and sustainable
infrastructure and technologies to support a growing population and
ensure every student has access to a safe and accessible learning
environment.
· Government
and industry leaders need to source, create and maintain a curriculum
that is relevant, evolving, and value based to ensure all students are
receiving a world-class and globalized education.
· Government
and industry need to invest in the recruitment and development of
qualified teachers and facilitators. Job training, job satisfaction, and
retention must remain a key focus.
· Government
and industry must create opportunities for equity within the education
landscape. Ensuring that boys and girls, women and men, have equal
access to education and equal skill development opportunities will
change the current state of inequity we experience in many countries.
· Government
and industry must commit to removing barriers to education through the
creation and enactment of policies and programs nationwide.
· Government
need to work with other governments and industry to leverage already
developed and proven learning models, content, policies, frameworks and
other such structures that can advance developing countries more
efficiently.
A strained education system – a focus on India
betterU
was created with a mission to change the world through equitable and
universal access to education. During the initial stages of the
company’s development it was quite clear that many of the world’s
education systems were facing substantial challenges. School systems are
fragmented, curriculum is outdated, governance is money-driven, methods
of delivery are inadequate for globalization and for many, a quality
education is completely inaccessible. Countries that have more mature
education systems, do not seem to be working closely enough with
countries that need the support. Re-emerging countries like India for
example have significant pressures to skill upwards of hundreds of
millions of people across all industries.
With
a population of over a billion people and a strong desire to globalize
their economy though improved access to quality education, betterU
decided to bring their ‘Education for All’
efforts to India first. For many years our small but passionate team
has worked tirelessly to show the world that inclusive and equitable
educational opportunities are possible for everyone, everywhere with the
right foundation, global collaborations, technologies and a vision for
scale. In 2013, the Prime Minister of India called for international
educators to help support the education needs of his country. Like a
Prime Minister’s vision for his country’s future, every parent’s
priority is to ensure that they can provide their child with access to
the best education available. However, in countries like India, the
educational system is strained and under pressure to support the growing
population. The barriers faced by many are overwhelming and often
insurmountable in today’s education landscape. With 29 states, 7
territories and over 650,000 villages, as well as a gap of over 350,000
qualified teachers needed to support the country, the options available
to those looking for a better life through education are bleak without
immediate action.
Many
international educators and Ed-Tech companies have since flocked to
India and other emerging markets in the hopes of tapping into the
potentially massive revenue opportunities without first understanding
the many barriers and requirements for access and delivery. These
companies and organizations, while ambitious, ultimately face
unanticipated challenges; eventually pushing them to abandon their
pursuits. betterU however, did not abandon efforts in India and in fact,
advanced to become an opportunity to support the entire country.
betterU has been aligning efforts with like-minded organizations around
the world partnering with those who are working to advance access to
quality education in India. Most recently the National Skills
Development Corporation (NSDC), a not-for-profit public limited company
under the Ministry of Skills Development and Entrepreneurship, partnered
with betterU to help achieve the objectives set out in the Skill India
initiative.
Overcoming barriers – together
Many
global educators have a misunderstanding of emerging markets and
believe that with their small international team they can service an
entire country. Companies looking to quickly tap into a market the size
of India, Africa, Indonesia and others without fully understanding the
complexities and intricacies of the country and the industry are going
to be greatly disappointed. Through conferences, keynote speeches,
lectures, and personal meetings, betterU has been working to educate
global leaders on the unique requirements of emerging markets to truly
illustrate the types of barriers that must be considered and pillars
that need to be put in place to fully support mass populations.
Not
all of us come from the same upbringing, have access to the same
technologies, can afford the same programs, learn the same way, have the
same interests, or have the right resources in place for quality
learning such as shelter, food, clean water, and facilities within a
safe and supportive learning environment. Collectively all these
variables should be considered when creating a solution for access to ‘Education for All’.
Additional barriers also include the location of students, language,
literacy level, social systems, availability of qualified teachers and
availability of suitable learning facilities. Without a comprehensive
understanding by educators, service providers, technology, corporate and
government SDG4 will be impossible to solve.
Pioneering change
There
are endless amounts of technologies, educators, and support services
available in today’s global education landscape. The following model
helps illustrate the scope of the education and what it would take to
solve access to ‘Education for All’.
This is important because if the scope of education in its entirety is
not being addressed, no solution can be provided that suits the needs of
the world. The Scope of Education model has been segmented into 5
sections, as defined below, representing each stage of a learner’s
development throughout their lifetime. Please note, this model is not a
complete representation of the scope of education required but simply an
illustration of the complexities of requirements.
1. Solving
for SDGs requires a level of knowledge and understanding that starts
from an early age. This needs to be the foundation of all educational
programs. We need to educate the world on what it means to eradicate
poverty, have zero hunger, live in good health, have access to quality
education, live in an equitable society, have access to clean water and
sanitation as well as affordable and clean energy. We need to take the
lead and show how we can all live in a world with decent work and
economic growth, healthy industries, innovation and infrastructure,
sustainable cities and communities while being responsible for
sustainable consumption and production. We need to be educated on
climate action, life below water, life on land, peace and justice, and
strong institutions and partnerships to achieve the Agenda. By educating
everyone from the start we set values and an awareness for a
sustainable and prosperous future.
2. Basic
school programs are essential because they teach our children the right
skills, behaviours, tolerance and fundamentals to support not only
their futures, but the world as a whole. As individuals move through
each level of education, they begin to focus their efforts and
individualize their learning path. Most emerging markets do not have the
ability to support the basic schooling requirements for their
population. There are hundreds of millions of people without access to
quality education and millions more who are not even receiving the
basics to live a healthy and prosperous life.
3. In
general, most countries around the world have the same or similar
industries. Each industry has their own educational requirements and
while most post secondary programs align with industry in developed
countries, this is often not the case in emerging markets. What this
means is that students entering the workforce might not have access to
the knowledge and skills to support their career aspirations. This
creates is higher unemployment and a skill gap within the country that
now must be addressed after the core education system that has failed
the learner.
4. Skills
development is changing everyday due to the advancement of new
technologies and emerging innovations. Even after a learner starts a
job, there will be an ongoing requirement for skills
development. Depending on the employee’s skill levels, their job role,
the company’s goals and the industry’s requirements, an employer can be
faced with hundreds of learning and skilling variables to contend with
across their organization. In today’s employment landscape, there are
tens of thousands of skills development solutions to choose from. What
makes this more complicated for a corporate is that each provider could
be using difference technologies, have different methods of access,
focus on only partial part of the skilling requirements or struggle to
track the learner’s progress. These additional variables add to the
complexity of the solution.
5. Global
relevance is critical to the education and skills of an individual.
Education and skill development need to be aligned not only with
industry, but also with global standards. The closer this alignment is
to global standards, the more opportunities for the globalization of an
economy and its people.
The
Scope of Education model represents, for the most part, what the
education landscape looks like in developed countries. There are many
additional variables and challenges that need to be considered for
emerging markets, but the point of the model is to illustrate the scope
of education so that people understand SDG4 requires a lot more than
what is out there and available today.
Education and Delivery
When we look at being able to provide ‘Education for All’,
we need to understand that bringing together the breath and depth of
education across primary learning, post secondary education, industry
specific training, and ongoing skills development requires an inclusive
view of everyone’s needs and abilities.
Many
of the world’s leading companies such as Google, Facebook, Microsoft,
Alibaba, Amazon and more have been investing in those who can contribute
to providing access to education on a global level. Many others have
chosen to focus on methods for delivering education. Furthermore, there
is an overwhelming number of educators, Ed-Tech providers, assessors,
consultants, tutors and more all competing for the same students. There
is so much noise in the market that anyone looking to access global
education can quickly become overwhelmed. All believe they are
addressing the barriers to providing access to quality education,
however these efforts, while important, are singular efforts competing
for a share of the market. Education and technology giants all want to
come out on top and dominate the industry but are falling short because
they are not considering the importance of balancing their strengths
with the strengths of another to provide a solution that truly addresses
the totality of the issues. When solving the problem of ‘Education for All’,
we must look at the solution from both sides of ‘Education’ and
‘Delivery’. Without one, access to quality education will fail.
‘Education’ is the Who, Why and What
which encompasses the materials required to support educating the
masses, including all ages, demographics, education levels, genders,
industry requirements and cultural diversities. ‘Education for All’
must include education that can support the variable needs of a country
while also supporting the requirements of an individual. This part of
the puzzle is far more difficult to solve because of the level of global
complexities and is the reason why so many have not even attempted to
focus on it.
‘Delivery’ is the When, Where and How
to connect the potential learner to the relevant education they need.
This includes such things as the use of technology, classroom
facilities, internet connectivity and associated infrastructure,
facilitators, teachers, schedules, and system sustainability. ‘Delivery’
should also include a combination of online and offline solutions as
online education is still in an early growth stage for many emerging
markets. Delivery is about providing access to quality education through
the best possible method required to support the individual.
Accessibility and the delivery of education must take into consideration
the circumstances of everyone to be effective.
Overcoming
these challenges can be a daunting thought. There is not one educator,
one technology company, not one government or one social good enterprise
anywhere in the world that can provide education across so many age
groups, educational categories, and industries to support the multitude
of barriers and obstacles. There are simply too many challenges and
variables from country-to-country and person-to-person for one educator
to be everything to everyone.
The Solution – Collaboration is key
The
only way to solve SDG4 is through global collaboration in one inclusive
system that brings together the full scope of education and delivery
options. Through collaboration, emerging markets would not have to start
from scratch. Emerging markets and developing countries could leverage
the world’s leading education programs and work with global educators to
establish the necessary frameworks, content and alignment with
industry. One world, one education system!
betterU has created an asset-light ecosystem that we believe supports ‘Education for All’. This
multi-layered model includes a collaboration of education providers,
assessment and support providers, multiple delivery methods, teachers,
facilitators and coordinators accessible to all types of learners who
are integrated into an online marketplace supported by global partners
and technology.
To
support inclusion of global educators, we needed our providers to
embrace the idea of coming together on one platform and to share the
common goal of educating everyone, everywhere. In order to accomplish
this, we had to create a system that was technology agnostic to support
all types of global educators’ learning environments, the technologies
they use and their methods of delivery. The asset-light model also
needed to be scalable and easy to replicate across all developing and
developed countries.
Our
solution also had to consider that not all learners accessed education
in the same way. While we are seeing an upswing in the adoption of
online learning, many around the world still rely on in-class learning
or a blended approach. Many educators typically do not work together
directly, either for competitive reasons or because their goals are not
aligned. Convincing each educator of the value of bringing them together
onto one online platform was important. We spent many years travelling
the world and speaking at global events to educate educators to the
importance of collaboration and bringing together quality education from
around the world. While one educator might not have the solution for
all individuals, hundreds and thousands of educators would. Working
together, hand in hand, towards common goals as set out by the Agenda
will truly benefit all.
betterU’s asset-light model (for global scale)
Conclusion
According to a United Nations report presented by Secretary-General António Guterres, “If
the world is to eradicate poverty, address climate change and build
peaceful, inclusive societies for all by 2030, greater efforts are
needed to accelerate progress on the Sustainable Development Goals
(SDGs) (*5).â€
While SDG4 may be headed toward failure, betterU has been working for
many years to put in place the foundation on which the world can
leverage, collaborate and advance their efforts to meet the global goal
requirements. We have the opportunity to succeed at SDG4 and the
remaining SDGs, but we need to work together. Global leaders need to
collaborate and support each other to achieve ‘Education for All’.
If global leaders and influencers invest their efforts and energy in
companies who can help solve a portion of the issues facing education,
we can to work together to leverage their successes for the world. We
need to collaborate now because as they say, “Time and tide wait for no manâ€.
About betterU
Through
partnerships with leading global job portals, industry partners,
employment service providers and top global educators, betterU provides
access to quality education, employment and career services for all.
betterU
enables learners to access education from global leaders through their
easy-to-use marketplace. With over 53,000 programs currently available
through 75 global educators, betterU supports access to KG-12, higher
education, skills development, job preparation and a lifetime of
learning. They provide learning programs across multiple age groups,
careers paths and industries. betterU also connects learners to support
systems, such as their Upskill Engine, designed to help individualize
skill learning to help them make informed decisions about their required
skills and their future.
betterU
evolves with the market to meet the growing needs of the industry. They
have focused exclusively on India, spending years researching and
understanding how to bring global education to the country. Most
recently, betterU has partnered with the National Skills Development
Corporation to support and enable of the people of India to reach the
goals set out in the Skill India initiative and secure a better
livelihood.
Posted by AGORACOM-JC
at 11:34 AM on Wednesday, August 21st, 2019
SPONSOR: Betteru Education Corp.
aims to provide access to quality education from around the world. The
Company plans to bridge the prevailing gap in the education and job
industry and enhance the lives of its prospective learners by developing
an integrated ecosystem. Click here for more information.
BTRU: TSX-V
Students prefer edtech resources to parents when it comes to homework help
A global survey gauges parents’ opinion of how edtech resources are impacting student learning and modern parenting
By Laura Ascione, Managing Editor
Smarter technology and edtech resources are helping students become independent learners and problem solvers, according to new research.
In fact, many of today’s students first turn to technology for answers to their questions, and they aren’t depending on their parents for homework help as often as in past generations.Â
The research from Lenovo surveyed more than 15,000 people across the
globe. Overall, 75 percent say their children are more likely to look
something up online than to ask them for help with schoolwork.
It also offers interesting insight on how different countries view edtech resources and technology in general.
India (89 percent) and China (85 percent) both have the highest rate
of parents reporting their children turn to edtech resources for
homework help. Those two countries have also seen a rise in parents using technology to assist with their kids’ learning in recent years.
Posted by AGORACOM-JC
at 10:31 AM on Wednesday, August 14th, 2019
SPONSOR: Betteru Education Corp.
aims to provide access to quality education from around the world. The
Company plans to bridge the prevailing gap in the education and job
industry and enhance the lives of its prospective learners by developing
an integrated ecosystem. Click here for more information.
BTRU: TSX-V
The art of new-age learning: A dynamic phenomenon
The e-learning market, valued at over USD 0.25 billion in 2016 is expected to grow to almost USD 1.96 billion by the end of 2021. But this begs the question, why is e-learning on the rise?
E learning, digital education, advantages of e learning, digital learning
It was always going to happen. Art of learning, as we have seen has
always been a dynamic phenomenon. What started as a fiefdom of few in
the age of gurukuls became a fraternity of educators and educated at the
advent of the 21st century.
But what has remained constant is the movement towards a
system that grants more autonomy to the learners, more avenues and tools
to educators and an overall impetus to the knowledge economy. The rise
of e-learning should be viewed in that neon light.
Over the years, numerous articles, blogs, and testimonials have been
written eulogizing, admonishing or elucidating the e-learning fad. All
of them capture one or the other facet of this emerging avenue. But
never have they been so (ir) relevant than now. India, at the moment, is
going through; perhaps its biggest development phase in the education
sector, particularly the one which deals the way knowledge is
disseminated and consumed. Byju, Toppr, Extraclass, you name it.
The probability will be that there are millions who have
heard their name or have used it once. The e-learning market, valued at
over USD 0.25 billion in 2016 is expected to grow to almost USD 1.96
billion by the end of 2021. But this begs the question, why is
e-learning on the rise?
Why is e-learning on the rise?
There are certain benefits to being on an e-learning platform. From
some obvious ones like the flexibility to learn anytime and anywhere to
personalized learning level matching your learning curve, the new way of
teaching offers something that was never possible before.
E-learning platforms offer you with not just a plethora of
disciplines to choose from but also come hard packed with methods that
are easy to grasp and easier to understand.
The application of audio-visual tools, fun animations and
colorful subject material makes it much easier for both the students and
tutors to understand and convey the concepts the books so desperately
try to achieve.
The dearth of physical infrastructure, a reality in many government
run schools, is something that can be easily overcome by adopting
neo-learning tools. All that one need is a working internet connection,
if the course is online or enough electricity hours to charge the
tablets that come in hand. And these are far cheaper to provide than the
usual infrastructures needed to run a school.
Major advantages
Another major advantage that these platforms offer, particularly
extraclass.com is the motivation to learn. It might sound far-fetched
but one of the primary reasons students hate schools or even colleges is
due to lack of motivation to sit in the class the whole day and still
learn nothing by the end of it. The problem is not with teachers, though
they too could use a bit of brushing, but in the mode of education. Not
everyone is blessed with a capability to sit out 8 hours at a stretch.
And faculties, burdened by their already heavy course structure have
little proclivity to make any changes or spare a word or two of
motivation to the students, since there’s syllabus to be completed,
assignments to be checked and administrative work to be done. What we
instead do is assign every child a mentor, a sort of guiding person who
helps them out not just with their course module but also with helping
them chalk out their career opportunities.
Main focus of EdTech startups
But behind this rosy picture lies a disconcerting reality, one which
still needs a lot of work to get affixed. While it is no surprise that
most of the EdTech startups begin by focusing mostly on Tier I and Tier
II cities, the trend is beginning to change. extraclass.com, for
instance, has made it an objective to start from the grassroots and then
make its way upward.
While it’s true that part of it is largely shaped by
relative saturation of the sector in the select cities, the fact remains
that focus on rural areas makes more sense, economically. With
competitive pricing, localized user interface and relevant product
placements, companies can tap into areas that have largely remained
untouched.
The size and demand of the education sector in the country is too
large to be manageable by government or few private players alone. The
time has come to engage players that have solutions that are more in
line with the changing trend of education. And that doesn’t demand
complete replacement of school systems with e-learning.
Both are needed. There is enough space to co-exist. A child is the
greatest asset of a nation and all of us have a role to play in shaping
him/her for the future of their nation, for their society and for
themselves.
Posted by AGORACOM-JC
at 10:13 AM on Wednesday, August 7th, 2019
SPONSOR: Betteru Education Corp.
aims to provide access to quality education from around the world. The
Company plans to bridge the prevailing gap in the education and job
industry and enhance the lives of its prospective learners by developing
an integrated ecosystem. Click here for more information.
BTRU: TSX-V
India’s Education Policy Updates After 30 Years: 4 Experts Share What It Really Means
On 31 May 2019, the Ministry of Human Resource Development (MHRD) released a draft of the National Education Policy (NEP).
This is the ï¬rst update to India’s education policy in nearly 30 years, and there has been plenty of debate on the recommendations, and it was open to the public for feedback and suggestions till July 31.
Central Square Foundation’s (CSF) monthly newsletter The EDge asked
eminent names from the education sector to share their thoughts on some
key aspects of the policy.
1. Ashish Dhawan, Founder and Chairman, Central Square Foundation
What is your initial response to the draft NEP? If implemented, how do you see the impact of the policy on our education system?
The draft NEP was a long time coming, but it has made some bold and
welcome recommendations to shift the focus of the education system
towards quality, and improving student learning outcomes. It takes a
long-term view in terms of the emphasis on flexibility and skills to
ensure that our children are equipped for a rapidly changing job
scenario.
When I read it, my immediate thought was that we now have a policy document, even though it’s a draft, that explicitly recognizes that we are currently in a severe learning crisis, and that this crisis starts in the early years. This is significant. If we were to focus and get this one thing right, i.e., ensure all children have foundational literacy and numeracy skills, this in itself would have a tremendous impact on the education system.
What are some of the key steps the government can take for
the successful implementation of the policy? How can the policy
translate into real action?
The challenge is that current state capacity to deliver quality
education is weak, and we do not have the resources to focus on so many
things at the same time. My one advice to the government would be that
they should almost ruthlessly prioritise–they should first focus on
ensuring that all children achieve foundational literacy and numeracy,
and then phase in other priorities, as needed.
Separately, I think it’s important to remember that implementation
rests with states. The centre’s role is primarily one of catalysing
demand for critical reforms with the states, setting broader policy
goals, providing funding to states, and so on. The centre cannot be too
prescriptive in terms of ‘how’ states need to implement. In fact, it
needs to give states the autonomy to choose the most cost-effective
pathways, while maintaining accountability for the right outcomes. The
centre should also think about enabling states to develop 3-5 year
plans, and not annual plans.
What, according to you, are the big misses of the draft NEP, if any?
One of the key concerns with the draft education policy is that like
many other policies, it may be attempting to do too much. As a system,
we first need to focus on getting the basics right–ensure that all our
children achieve foundational literacy and numeracy by class 3. Without
this prioritisation, the system will continue to grapple with multiple
competing priorities.
We cannot hope to achieve foundational learning for all our children
if we don’t measure it correctly. Therefore, one of the biggest areas of
reform in this regard, which is not adequately addressed by the policy
in its current form, is the need to ensure independent and reliable
learning data to measure early grade learning outcomes.
While the NEP does call out regular adaptive assessments, there is a
need to have a large-scale, independent, household-based,
government-backed assessment, which measures outcomes for children
attending public and private schools. This survey must be housed in and
administered by an autonomous institution, which is at arm’s length from
the delivery ministry, ensuring there is no conflict of interest. This
learning data is critical for the government to meaningfully hold the
system accountable and keep us honest.
Read CSF’s full interview with Ashish Dhawan, here.
2. Geeta Gandhi Kingdon, Professor, University College London and President, City Montessori School, Lucknow
The NEP refers to the creation of an independent agency to
gather and analyse data for the education system. What are crucial data
gaps on private schools that the government should strive to fill?
There is hardly any data on private schools
because they are rarely included in studies or surveys done by the
government. It is as if private school students belong to another
country. For example, the National Achievement Survey (NAS) is conducted
only in government and aided schools and excludes private unaided
schools. We need more information about private schools to get a fuller
picture of the education sector.
What do you think of the proposition to separate regulation,
provision, and policy-making in the NEP? How do overlapping interests
between these functions presently impact private schools?
The idea of separating roles is very good, because if the government
performs all the roles–funder, provider, regulator, policy maker,
assessor–it leads to many conflicts of interest. However, the NEP does
not go far enough because it does not separate funding and provision–the
government is both the funder and producer of education, i.e., it runs
schools itself.
The NEP does not consider public funding for privately produced
education (public-private partnerships). It is a myth that in
educationally developed countries, all schools are state-run. Actually,
they are only publicly funded, not publicly run. This is an important
distinction that many in government are unaware of.
In India, there is an entrenched belief that the government shouldn’t
just fund education, it must also produce it (i.e., run the
schools)–even when it has struggled to deliver quality. Our main focus
should be to ensure that all elementary education is publicly funded, so
that parents do not have to pay to send their children to school. But
the operation of the schools could be in private hands if they are
deemed to be more efficient, i.e., to deliver better child outcomes at
lower costs.
The NEP has also proposed the establishment of an independent State
School Regulatory Authority (SSRA) for each state, to handle all aspects
of school regulation and accreditation. It recommends reducing the
burden of over-regulation on private schools, and regulating public and
private schools within the same framework/benchmarks. These are welcome
proposals. Much depends, however, on how the SSRA will operate. Will it
subject public schools to accountability pressures? Will government
schools go through a process of recognition like private schools? And
will they also be closed down if they do not comply with the norms of
the RTE Act? The NEP doesn’t clarify this, leaving open the possibility
of the continuation of non-accountable public schools and resultant poor
learning outcomes.
Read CSF’s full interview with Geeta Gandhi Kingdon, here.
3. Rukmini Banerji, CEO, Pratham Education Foundation
The draft NEP includes pre-primary education as part of the
‘foundational stage’ (ages 3-8) and strongly recommends that this stage
must be a continuum. Do you agree? How should we approach this?
I welcome the strong focus on the early years. Building strong
foundations in the early years allows children to ‘leap forward’. The
widespread phenomena of ‘falling behind’ that we see today, happens
because the right things are not done at the right time.
The draft policy states that children in the 3-8 year age group
should receive a flexible, “play-based, activity-based, and
discovery-based†education. However, it is fair to say that the
educational establishment in India, including the government bodies at
the central, state, and district levels have little or no experience
with the preschool age group.
Pre-primary classes are often part of primary schools in the private
sector and much of the student intake happens in lower or upper
kindergarten. However, research studies show that most activities in
these institutions in the early age group are ‘school-like’ and do not
provide the flexible, play-based, and developmentally appropriate
activities that are suited for supporting the development of young
minds. So, despite several years of preschool education, such children
are still not ‘ready’ for class 1.
At the same time, the Integrated Child Development Services (ICDS)
system run by the Ministry of Women & Child Development (MWCD) is
typically overwhelmed by responsibilities in health, immunisation, and
nutrition. So, in the anganwadis, early childhood stimulation or
development has not received the high priority it needs.
Bringing these two ministries together, all the way from the centre
to the states, districts, and villages, will be a huge and challenging
task, but one that is certainly worth undertaking. Clear financial
calculations will be needed to support this convergence exercise in a
sustained way.
One of the objectives the draft NEP states is that every
child in grade 5 and beyond should achieve foundational literacy and
numeracy – can you talk about some of the specifics with regard to the
pedagogical and curricular changes that will be needed to achieve this
goal?
According to ASER data, only about 50 percent of class five children
are able to read in class 2 (or higher). The other half is spread across
several reading levels, starting from not being able to recognise
letters to just about coping with simple sentences. This is one of the
biggest challenges in primary schools, the wide dispersion of learning
levels. The teacher’s daily dilemma is to figure out what to teach and
to whom. To complete the curriculum guided by grade-level textbooks,
teachers usually choose to focus on the ‘top of the class’, leaving
others to catch up on their own. Even the RTE Act prescribes that
teachers “must complete entire curriculum within specified timeâ€.
The draft NEP highlights several causes for the learning crisis,
including the lack of school readiness, but it doesn’t address the
negative consequences of overambitious curricula or the common practice
of teaching to the top of the class. The real challenge is, therefore,
to schedule ‘catch-up’ routines into the regular school schedule. Given
the size, depth, and magnitude of the ‘catch-up’ required, we will need a
persistent and high-priority effort for at least five years or more.
The alignment of key elements of the school system such as teacher
training, teaching-learning material, ongoing teacher support,
mentoring-monitoring, assessment, and course correction towards
achieving stated goals is critical. Perhaps this alignment for
foundational learning will now be possible, given the overarching
direction of the new policy.
Read CSF’s full interview with Rukmini Banerji, here.
4. Sridhar Rajagopalan, President and Chief Learning Officer, Educational Initiatives
The draft NEP calls for the appropriate integration of technology
into all levels of education. What is your initial response to the
draft in terms of how it envisions the role of technology in education?
The draft policy mentions India’s unique leadership in the technology
space and acknowledges that the right policy and implementation can
help India become a global leader in EdTech. Overall, the policy seems
to have its heart in the right place, yet many challenges plague the
successful implementation of EdTech in our country.
For example, one of the most common issues with all EdTech projects
is the disproportionate focus on hardware as compared to the software or
content.
One big miss. without a doubt, is that it fails to recognise the role
of the private, for-profit players and their international experience.
It would have been useful to look into what has been tried already in
EdTech and the challenges those efforts faced. While the collective goal
should be to strengthen state resources and capacities and help curate
high-quality open resources, there should be an effort to learn from the
for-profit EdTech players and view them as providers of co-existing and
complementing solutions.
Again, for implementation of suggestions made in the policy,
do you think we have adequate infrastructure and capacity in our schools
and state systems? What could be the challenges in creating that
infrastructure and capacity?
The infrastructure and capacity do not exist, but like with anything
new, they can be developed over time as these projects expand. However,
problems arise if the approach tends to focus more on scaling than on
quality. Ironing out all possible issues at the scale of 20-100 schools
is very important, and a disproportionate focus at this scale will
ensure fewer challenges at a larger scale of say 1,000 or 2,000 schools.
What is important in all this is generating effective assessment
solutions and protocols to provide learning feedback. Again, this should
be done in a low-stake, quality-focused manner while gradually scaling
up and taking key players and partners along.
Read CSF’s full interview with Sridhar Rajagopalan, here.
Posted by AGORACOM-JC
at 10:40 AM on Tuesday, August 6th, 2019
SPONSOR: Betteru Education Corp.
aims to provide access to quality education from around the world. The
Company plans to bridge the prevailing gap in the education and job
industry and enhance the lives of its prospective learners by developing
an integrated ecosystem. Click here for more information.
BTRU: TSX-V
Why the Indian Education Industry Will be a Goldmine For Investors in the Coming Years?
A land of over 1.3 billion people, out of which about half are less than 20 years old- this could be the goldmine for the education industry.
According to a study by India Brand Equity Foundation (IBEF), India’s education sector clocked a whopping US$ 91.7 billion in revenues in FY18 according.
Sarvesh Shrivastava
Founder and Managing Director, Eupheus Learning
The study had further projected the industry to reach US$ 101.1 billion in FY19. While the scale of opportunity already gets enough share of voice, below are some qualitative reasons working in favour of the education industry (and investors): -Â
Untapped Treasure Chests
In 2016-17, the country’s Gross Enrolment Ratio or GER in higher
education was about 25.2per cent, as per the latest available data under
the All India Higher Education Survey (AIHES) launched by Union Human
Resource Development (HRD). The number is much lower than 43.93per cent
in China and 85.8per cent in the USA during the same period. The
scenario is not much different for primary and secondary levels. The
opportunity is to bridge this gap by providing affordable and accessible
education solutions for all segments.
Technology is the ‘Change agent’
Digitaldisruption in India is still in its early
days. However, we have already seen how it changes the way businesses,
people, and society works. Education space is not untouched from this
wave. Affordable internet access, rising smartphone penetration, and
awareness about usage have set the right platform for building and
catering digital solutions for education. Recorded classroom videos
live-streamed sessions, e-books, online tests, and artificial
intelligence-powered learning modules which could adjust to the pace and
learning of an individual, all of these have made education
experiential. Add to that, the entry of Internet of Things (IoT) will
enable many more connected devices to be used for learning and
development tools. Rising disposable income and time shortage inspires
parents to invest in edtech solutions which can be customized to the
needs of their wards and help their classroom studies. These solutions
have also simplified distance learning, reaching to millions of those
who do not have access to full-time classrooms or can not afford to do
so.
Favourable Policy Regime
In the last 5-6 years, the policy regime in India has supported both,
start-ups and education sector, hence making it a perfect time to take a
plunge into the education business. Start-up India initiative by the
Government of India has done miracles by single-window clearance,
affordable funding, and easy compliance norms for start-ups. On the
education front, campaigns like UDAAN (by CBSE), PRAGATI (by AICTE) to
address the gender gap and Skill India (by the Ministry of HRD) to
promote vocational education are reaching out to millions of students in
schools and colleges. The policies are also encouraging
industry-academic partnerships to make education more relevant to the
economy. Therefore, the innovative educational solutions which cater to
this objective will find immediate takers in the market.
According to the World Development Report 2019, the focus for India
going forth is to build a strong base for quality education and scale up
the employability of the human capital. While traditional teaching
systems will continue to exist, the new age edtech solutions are already
being accepted by many parents and students. These solutions are making
education more relevant, experiential, and adaptable. The scenario
proves that India is a land of opportunities for investors in the
education sector. The need is to pick companies which have unique
solutions, new business models, and a rebellious approach.
Posted by AGORACOM-JC
at 10:14 AM on Friday, August 2nd, 2019
BTRU: TSX-V
Announced the launch of their mobile app in parallel to their National Skills Development Corporation partnership announcement held at a Press Conference on July 15th 2019 in Delhi India
Company has been waiting to see how the app has been performing before announcing the details of the launch
launch of the Company’s mobile app is an important milestone required to support betterU’s revenue strategy and drive more awareness and user access to their library of global educators
OTTAWA, Aug. 02, 2019 – betterU Education Corp. (TSX VENTURE:BTRU) (FRANKFURT:5OGA), (the “Company” or “betterU”) is pleased to announce the launch of their mobile app in parallel to their National Skills Development Corporation (“NSDCâ€) partnership announcement held at a Press Conference on July 15th 2019 in Delhi India. The Company has been waiting to see how the app has been performing before announcing the details of the launch.
The launch of the Company’s mobile app is an important milestone
required to support betterU’s revenue strategy and drive more awareness
and user access to their library of global educators. India has the
highest average data usage per smartphone in the world according to the
latest Ericsson Mobility Report released in June 2019. It has also
become the world’s fastest-growing market for mobile applications on
both the Apple iOS and Google’s Android Play Store and leads in the
greatest number of mobile app downloaded across both platforms,
according to app market data and insights company App Annie. betterU has
been focused over the last year on developing the right tools to ensure
that their offering can be accessed through the most common channels in
India.
betterU’s app, which can be downloaded
from the Google Play Store, has already been downloaded over 1600 times
in the last two weeks, is receiving good ratings and has no application
crashes. The beta launch was a great test of the development efforts of
the Company, having integrated their entire catalogue of global
education partners as well as integrating betterU’s Upskill Engine,
which is focused on supporting individualized skill development for jobs
across industries within India. The development of Upskill Engine is
ongoing and will continue to advance as more partnerships are realized
through NSDC and India’s 38 Sector Skill Councils (SSC) which NSDC is
working to support betterU on. The Upskill Engine is a key priority for
betterU as it helps guide a user to through a self-assessment defined by
each SSC, then it will provide a learning path of recommended courses
the user would require to complete in order to advance their skills
specifically for their job of interest.
All marketing efforts going forward will be to drive users to
download the mobile app so that no matter where they are, they can
access the best education from around the world.
betterU, an online education technology company, aims to provide access to quality education from around the world in order to foster growth and opportunity to those who want to better their lives. The Company plans to bridge the prevailing gap in the education and job industry and enhance the lives of its prospective learners by developing an integrated ecosystem. betterU’s offerings can be categorized into four broad functions: to compliment school programs with flexible KG-12 programs preparing children for their next stage of education, to foster an exceptional educational environment by providing befitting skills that lead to a better career, to bridge the gap between one’s existing education and prospective job requirement by training them and lastly, to connect the end user to various job opportunities.
Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.
By their nature, forward-looking statements include assumptions and
are subject to inherent risks and uncertainties that could cause actual
future results, conditions, actions or events to differ materially from
those in the forward-looking statements. If and when forward-looking
statements are set out in this news release, BetterU will also set out
the material risk factors or assumptions used to develop the
forward-looking statements. Except as expressly required by applicable
securities law, the Company assumes no obligation to update or revise
any forward-looking statements. The future outcomes that relate to
forward-looking statements may be influenced by many factors, including,
but not limited to: industry cyclicality; the ability to secure third
party agreements; successful integration of BetterU’s system with third
party technology; competition; reduction in demand for products;
collection from customers; relationships with suppliers; product
liability; intellectual property; reliance on key personnel;
environmental; interest rates; uninsured and underinsured losses;
operating hazards; risks of future legal proceedings; income tax
matters; credit facilities; availability and terms of financing;
distribution of securities; restrictions on potential growth; effect of
market interest rates on price of securities; and potential dilution.
betterU does not assume any obligation to update any forward-looking
statements except as required by law.
CONTACT INFORMATION
On behalf of the Board of Directors, betterU Education Corp. Brad Loiselle, CEO
Posted by AGORACOM-JC
at 8:57 AM on Thursday, August 1st, 2019
SPONSOR: Betteru Education Corp.
aims to provide access to quality education from around the world. The
Company plans to bridge the prevailing gap in the education and job
industry and enhance the lives of its prospective learners by developing
an integrated ecosystem. Click here for more information.
BTRU: TSX-V
Sequoia adds USD 200 million to its sixth India fund in a warming market
The venture capital firm originally targeted at 1 billion for its sixth Indian fund.
By Priya Pradeep Thu Aug 01 2019
Sequoia has been one of the most active investors in India over the
past decade, with investments across a wide array of sectors, from
high-profiled hotel chain Oyo Rooms, edtech upriser Byju’s, to SaaS
service Freshworks, all of which are local unicorns.
Sequoia India, the country’s largest venture capital after raising its USD 695 million sixth fund last August, is looking to add an additional 200 million dollars to the fund, per local financial media Mint. If the financing coming through, it’ll push the fund size closer to the 1 billion Sequoia originally targeted but eventually had to slash due to the then market conditions.
The move is driven by a growing market and reignited interests from limited partners (LPs), anonymous sources told Mint. More than 80% of Sequoia’s LPs are non-profits — universities, endowments, charities, and foundations.
Sequoia manages around USD 4.5 billion assets across several funds in
India. It’s bigger than the other tier-1 venture capital funds in the
country, including the likes of Nexus Venture Partners (1.39 billion as of now) and Accel.
Sequoia has been one of the most active investors in India over the
past decade, with investments across a wide array of sectors, from
high-profiled hotel chain Oyo Rooms, edtech upriser Byju’s, to SaaS
service Freshworks, all of which are local unicorns. In the first half
of this year, it has invested in 32 local startups, making it the most
prolific Indian investors during the period.
In total Sequoia has more than 200 companies in its Indian portfolio.
Since its inception in India in 2006, Sequoia followed a two-pronged
strategy in the market: invest in early-stage start-ups and those that
are into technology or are technology-enabled. In addition to local
investments, the firm also sets eye on neighboring and other regions. It
intends to disburse 20-30% of its corpus in Southeast Asia.
The Silicon Valley venture capital’s Indian arm also has stakes in
Australia’s online healthcare services provider HealthEngine,
Bangladesh’s online merchant marketplace ShopUp, and the
Stockholm-headquartered caller identity app Truecaller.
Sequoia India is making decent proceeds from selling or exiting some
of its investees, one of the reasons for the renewed interests from LPs.
In December 2018, Sequoia India sold a part of its stake in Byju’s
for USD 190 million, after investing USD 50 million across rounds since
2015. It still holds a minority stake in the company. Additionally, it
stands to make USD 500 million from investing USD 25 million across
rounds in Oyo Rooms, where its founder Ritesh Agarwal announced a USD
1.5 billion share buyback.
Sequoia has recently launched Surge, an accelerator programme
dedicated to invest exclusively at the seed stage for start-ups in India
and Southeast Asia.
The program, headed by Rajan Anandan, former VP, India and Southeast
Asia, Google, aims to invest in 30-40 start-ups annually for four months
and invest USD 1-2 million in each company. The launch of Surge
signifies that Sequoia, which typically invests more in growth and later
stage companies, is moving upstream into the early stage in a changing
market.
Posted by AGORACOM-JC
at 10:48 AM on Wednesday, July 31st, 2019
SPONSOR: Betteru Education Corp.
aims to provide access to quality education from around the world. The
Company plans to bridge the prevailing gap in the education and job
industry and enhance the lives of its prospective learners by developing
an integrated ecosystem. Click here for more information.
BTRU: TSX-V
Chasing students: Naspers Ventures into online education
Chasing students: Naspers Ventures into online education
Online education is the next big thing for technology giant Naspers, judging from its recent investments.
The company has announced a $30m investment into Brainly, an online learning community for students, parents and teachers, along with two other funders.
It’s no secret Naspers trades at discount to the value of its Tencent stake. So much so that this discount was deemed part of the reason the technology giant pushed for its offshore listing on the Euronext in Amsterdam.
Naspers is also at odds to defy this one-trick pony tag, with
investments across sectors from online classifieds to food delivery.
Education is another such topic, online in particular, which has seen
investments range from $30m to $383m, from the United States to India.
But not enough is made of these investments. In the Business Maverick article below, Sasha Planting maps out the group’s investments into online education. – Stuart Lowman
Naspers rides the education wave
By Sasha Planting
Online education is the next big thing for technology giant Naspers,
judging from its recent investments. The company has announced a $30m
investment into Brainly, an online learning community for students,
parents and teachers, along with two other funders.
This is its second investment into the company, which has
headquarters in Krakow and New York. The first was a $15m investment in
2016.
Brainly’s “crowd learning†model combines online education, social
media and machine learning, and is disrupting the education market on a
global level. From 2018 to 2019 it has grown from 100 million to 150
million active monthly users.
In December 2018 Naspers invested $383m in Indian online tutorial
start-up Byju’s, which develops online learning materials. It is the
world’s most prized EdTech company, having recently been valued at
$5.7bn.
Online learning is booming thanks to exploding internet usage around
the world, largely because of the ubiquity of cheap smartphones and
decreasing internet costs.
While this trend is catching on in both developing and developed markets, Naspers is particularly excited about opportunities in India.
It notes in its recently released annual report that India is the
world’s fastest-growing large economy, with more than 1.3 billion people
and some of the planet’s most talented entrepreneurs.
“We’ve been investing in India for more than a decade – over $2bn, or
around 20% of our worldwide investment in the last decade,†says CEO
Bob van Dijk in the report.
Prior to this, in September, Naspers invested in SoloLearn, a social
platform that helps individuals become better coders as they consume,
create and share bits of code-related content with peers around the
world.
Naspers’ first investment in the EdTech space was in June 2016 when
it invested $60m in Udemy, an online learning marketplace for adults.
The growth in the platform has been nothing short of extraordinary with
40 million students making the most of the 130,000 courses offered in
more than 60 languages.
The investments are housed in Naspers Ventures,
which is dedicated to seeking out, investing in and nurturing companies
that will generate the next wave of growth for the tech company. This
is the type of thinking that saw Naspers transform itself from a South
African print media business in 1915 to today’s global consumer internet
group.
“Naspers Ventures’ remit is to find investment opportunities for
Naspers beyond our traditional market segments, but that are a strategic
fit for the company,†Naspers Ventures CEO Larry Illg said at the time
of its investment in Udemy.
“We are looking for companies and leaders with high potential and the
ambition to have significant global impact. Education is a sizeable
market that has not yet seen the technology impacts we have seen in
other sectors, but we are now seeing dramatic innovations appearing.
That makes EdTech a perfect fit for Naspers Ventures.â€
Certainly, it seems that the online learning market has limitless potential. According to an article in Forbes magazine, it was predicted that “e-learning†would reach $107bn in 2015 – and it did. Now, Research and Markets forecasts show that this figure will triple in the coming years – in other words, it will grow to $325bn by 2025.
“The brilliant aspect about marrying learning with technology is that
it enables all kinds of innovative ways for more and more people to add
to their skills and knowledge: often more quickly, effectively and
enjoyably than before. This is an opportunity that can make a real
difference to people’s lives around the world and there is still much
more to be done. So for us, it ticks all the right boxes,†says Illg in
the annual report.
In the 2018-19 financial year, Naspers’ food-delivery businesses (Swiggy,
Delivery Hero, Mr D Food and iFood) reached a size and level of
profitability that saw it graduate from Ventures to become a core
standalone Naspers segment alongside Classifieds and Payments &
Fintech. While not yet a profitable business, online food delivery is
growing at 30% a year and is already a $75bn plus global market.
As a result, Naspers has dramatically upped the level of investment
in this space. During the year, it committed, along with Innova, to
invest an additional $400m in iFood to enable the business to accelerate
growth. It also invested $716m in Indian food-delivery leader Swiggy
during the year.
It is a matter of time before its online education business reaches a similar scale. BM