E-learning platforms are changing the Indian education landscape by addressing the demand-supply gap of both students as well as corporate employees by dispensing personalised learning outcomes, experts say.
Online learning has widened the scope of education and transcended it beyond classroom boundaries.
With high internet penetration in the last two years, it has taken over the traditional methods not just in the urban landscape but also in rural areas. The education system is evolving at a very fast pace, online education platform upGrad co-founder and MD Mayank Kumar said.
“With industries directly connecting with e-learning institutions
like ours, content has never been so up-to-date. All this put together
makes e-learning platforms complete, and students and working
professionals future-ready, in a matter of months,” he said.
Kumar noted that e-learning penetration in corporations is
increasing, regardless of the company’s size. Since class-based training
is more expensive, proportionately, for small and medium-sized firms,
these firms are increasingly recognising e-learning as a convenient and
cost-effective mode.
According to a report by KPMG, the Indian online education industry
will grow from 1.6 million users in 2016 to 9.6 million users by 2021.
“In the current scenario, professionals will be required to re-skill
themselves every 3-4 years to remain relevant in their evolving job
roles,” said Zairus Master, CEO, Shine Learning.com, which gives access
to certification courses from top global educational service providers.
At this scale, e-learning platforms are the only way forward.
Professionals will need to equip themselves with relevant skills before
their current skills become obsolete. Moreover, the government is
adopting a series of measures to bring a technological revolution to
accentuate e-learning which will ultimately lead to a major shift in the
Indian education sector, experts added.
“E-learning platforms are bringing a measurable difference in
students’ engagement and performance. It is reducing gaps in the
delivery of education and giving a new dimension to the education
space,” Pearson India Managing Director Vikas Singh said.
Chegg eyes India for next level growth, aims to cash in on edtech boom
Santa Clara-based education technology (edtech) major Chegg is eyeing India for its next level of growth.
Company is studying the market, including other edtech firms, to gauge the feasibility of starting operations in the country.
Listed on the New York Stock Exchange, it is a major player in the connected learning or online education space.
It has a subscription-based model for college students, offering
study help, writing and learning tools, tutoring and text book rental.
Currently, India is one of the biggest markets for Chegg for
talent and content acquisition, and is employing more than 500 people
for the same. In addition to its full-time employees, they also have a
network of 80,000 qualified experts and students.
“For us, Chegg India is
the hub of content and talent. Also, a chunk of our back end
engineering teams that power our technology platform are based out of
India. It remains one of the most attractive markets beyond the US, and
we will continue to evaluate options,†said Nathan Schultz, president of
learning services at Chegg.
The company said that it has over 3.1 million paid subscribers in the US, an increase of 38 per cent year-on-year.
Posted by AGORACOM-JC
at 10:04 AM on Monday, April 8th, 2019
SPONSOR:Â Betteru Education Corp. Connecting global leading educators to the mass population of India. BetterU Education has ability to reach 100 MILLION potential learners each week. Click here for more information.
BTRU: TSX-V
————————
EdTech platforms paving the way for quality education in India
DECCAN CHRONICLE EdTech platforms have reimagined the education landscape by making learning more student-centric and engaging.
EdTech platforms making learning interactive and accessible to all
EdTech platforms have reimagined the education landscape by making learning more student-centric and engaging.
24×7 accessibility
Personalized approach
The advent of learning apps, video tutorials and peer-to-peer discussion portals has not only enabled students to take ownership of their learning, but also bolster their critical-thinking and problem-solving skills.
Up until the 2000s, a standard classroom in India included two common
components – the teacher giving lectures standing in front of the
blackboard and students passively listening while taking down notes.
This rigid pedagogical approach was followed for decades, leaving little
to no scope for interactive learning. India’s dated education system,
however, has undergone major transformations in the past few years. With
educators and policymakers finally realizing the importance of digital
learning, top educational institutes across the country are now turning
to EdTech platforms. According to a 2016 report by Google and KPMG, the
EdTech industry in India is expected to touch almost USD 2 billion by
2021. The report further stated that the growth will be impelled by the
rising number of paid users subscribed to the e-learning portals. The
findings clearly indicate that a shift is taking place; students are
opting for internet-based smart learning over classroom-confined
learning. For instance, personalized learning app Toppr has achieved a
seven-fold increase in its user-base within two years.
EdTech platforms making learning interactive and accessible to all
EdTech platforms have reimagined the education landscape by making
learning more student-centric and engaging. The advent of learning apps,
video tutorials and peer-to-peer discussion portals has not only
enabled students to take ownership of their learning, but also bolster
their critical-thinking and problem-solving skills. This explains why
both they have embraced tech-enabled learning tools with open arms to
acquire additional knowledge outside the classroom.
24×7 accessibility
While multiple factors have contributed to the EdTech boom in India,
accessibility is the primary reason why digital learning is becoming
commonplace. Thanks to the increased usage of smartphones and the
internet, students can get 24×7 access to study materials, notes and
qualified mentors from the comfort of their homes. Moreover, EdTech
platforms also allow them to attend live lectures. This feature can be
particularly beneficial for those unable to attend the class in person.
Needless to say, the round-the-clock accessibility has helped thousands
of Indian students who often find it futile to ask questions inside
their overcrowded classrooms.
Breaking geographical barriers
The scope for higher education is limited in small towns and rural
parts of India. Especially, the public education sector is not
well-equipped to support high-potential and ambitious students. To
address this issue, EdTech companies have come forward with their
extensive offerings that range from free online classes to proper
guidance. In fact, there are many e-learning portals that allow students
to take mock tests and self-assess themselves.
Personalized approach
Back in the 90s, most educational institutes followed the
one-size-fits-all, rote-based method of learning. While it may have been
effective at that time, the requirements have changed. Today, a
learner-centric pedagogy that focuses on the individual’s strengths and
weaknesses is the need of the hour. Given the pressing issues like
skills-gap and low-employability rate in India, a personalized learning
approach can help students gain a better understanding of a subject.
New-age EdTech platforms incorporate advanced algorithms to a student’s
behaviour and then suggest questions appropriate for their level, slowly
raising the difficulty until they meet their learning goals. This, in
turn, enhances the overall learning experience as well the performance
of students.
Audio-visual learning
Numerous studies have shown that audio-visual learning facilitates
improved understanding and higher retention of facts. 88 per cent of
parents and 84 per cent of teachers seek digital, video-based content to
supplement what is being taught inside classrooms, as per a Digital
Education Survey conducted by Deloitte in 2016. Students, too, are
relying on EdTech platforms to get access to video-based learning
modules to clear their concepts.
EdTech platforms have undeniably changed the face of India’s
education sector. These changes have worked in favour of students who
now have the liberty to learn at their own pace, self-evaluate and
introspect.
From a multi-billion-dollar education startup to wired-up mannequins, technology is helping to revolutionise the way Indian schoolchildren are learning
A host of online platforms are taking advantage of a surge in smartphone ownership to engage millions of youngsters with interactive games and animated video lessons.
India’s education system
suffers from a lack of investment, and the apps aid students who want
extra tuition away from overcrowded classrooms and crumbling schools.
Major foreign investors are ploughing funds into India’s growing
“edtech” industry as they seek to capitalise on the world’s largest
school-age population who face fierce competition for university places.
“I have been using Byju’s since last year and my performance has
really improved. I understand mathematical concepts much better now,”
says 16-year-old Akshat Mugad referring to a Facebook-backed, Indian
education app.
Byju’s has become one of the world’s largest online learning sites
since it was founded in Bangalore in 2011 and is currently embarking on
an ambitious overseas expansion.
It is just one of dozens of startups betting that kids are eager to
learn differently from rote memorisation techniques that are used across
much of Asia.
Edtech platforms are also taking off in other Asian countries, notably China and Taiwan.
“We wanted to make education fun,” said Manish Dhooper, the founder
of New Delhi-based Planet Spark, which uses “gamified” teaching methods.
Interactive
Garima Dhir enrolled her six-year-old boy into a Planet Spark
programme to study maths and English because she wanted him to get used
to using technology at a young age.
“With interactive classes, my son is picking concepts without any
stress and enjoying the process without fear of failure,” she told AFP.
Robomate, Toppr, Simplilearn, Meritnation and Edureka are others in the market.
India has an estimated 270 million children aged between five and 17.
Its online education sector is projected to be worth $2 billion to
Asia’s third-largest economy by 2021, according to research published by
accounting group KPMG two years ago.
With revenues heading for $200 million, Byju’s says it has around 32
million users in India using its e-tutorials that feature animations,
live classes and educational games to match India’s school curriculum.
It has raised more than $1 billion in funding since the beginning of
last year, including from Facebook founder Mark Zuckerberg, valuing the
firm at around $5.4 billion.
“We want to be the largest education company in the world,” founder
Byju Raveendran, 39, whose stake in Byju’s is now thought to be worth
almost $2 billion, told AFP.
‘Ask Alexa’
Analysts say technology has the power to transform education in India but note that at the moment it is largely the domain of middle-class families.
A year-long subscription to Byju’s can cost upwards of $150 for example, a small fortune for the majority of Indians.
At a state-run school in Mumbai teacher Pooja Prashant Sankhe is
using technology in a rather different way to change how her pupils
engage with lessons.
The 45-year-old hides an Amazon Echo device in a shop window
mannequin. When AFP visited children aged 11 approached and asked
questions such as, “Alexa, how many states are there in India?”.
They also did sums and then asked Alexa for the answer to find out if
they had done them correctly. The device plays the Indian national
anthem at the start of the school day and healing music during
meditation sessions.
Indian media have carried reports of a teacher doing the same thing
in another school in rural Maharashtra state, of which Mumbai is the
capital.
“The kids get really excited when they ask her questions,” said
Sankhe, 45. “Pupils are coming to school more regularly now because of
Alexa,” she added.
The Startup On A Mission To Create A Truly O2O Edtech Ecosystem
According to a study conducted by KPMG and Google, India’s online education market will grow to $1.96 billion by 2021.
Online to Offline or O2O segment in India is heating up with Reliance planning to foray into e-commerce backed by its 7500+ offline stores and Paytm scaling down its Paytm Mall to focus on the O2O space, led by its acquisition of NearBuy.
Bengaluru: The Online to Offline or O2O segment in India is heating up with Reliance planning to foray into e-commerce backed by its 7500+ offline stores and Paytm scaling down its Paytm Mall to focus on the O2O space, led by its acquisition of NearBuy.
A recent report by The Boston Consulting Group pegged 5% of volume
and 16% of value of purchases in the Indian retail space to O2O
channels. The Indian customer is now smartphone savvy and uses the
online world for discovery but prefers an offline experience before
buying, especially in high ticket segments. The trend is clear with all
major players now having offline presence, across every segment such as
fashion (Myntra, YepMe), furniture (UrbanLadder, PepperFry), kids
(FirstCry), opticals (LensKart), jewellery (CaratLane),fitness
(Cure.fit) and more.
Education, especially outsourced to help for K-12 parents, has one of
the greatest needs for an O2O experience but that remains largely
untapped. According to a study conducted by KPMG and Google, India’s
online education market will grow to $1.96 billion by 2021. However, the
average rate of completion of online courses is less than 10%. Hence,
there is a strong need for an offline learning centre with a teacher or a
coach to help in learning and doubt solving.
The sweet spot in outsourced learning help lies in the Blended
Approach of digital content with offline consumption. PlanetSpark, one
of India’s fastest growing edtech startups is working on this huge O2O
opportunity in the K-8 edtech space. The company has developed highly
engaging and gamified digital learning content for children that can be
consumed at any of its offline experience centres across the country,
thus providing a seamless learning experience.
The parents discover the content through PlanetSpark’s free learning
app loaded with thousands of learning games, learning cartoons and
quizzes. “After parents discovers us online through our app, they have
the option to take up a premium learning plan or experience the learning
content at any of our experience centres in the presence of a
PlanetSpark certified teacher. Many parents opt for a classroom learning
and digital content plan. However, a visit to the offline experience
centre also helps parentsin decision making for the purchase of the ‘at
home’ digital planâ€, said Kunal Malik, Co-Founder of PlanetSpark.
An O2O (online to offline) strategy has helpedPlanetSpark to optimize
students’ experience. The students can learn at home using digital
content through a PlanetSpark ‘child safe’ tablet or a mobile app. They
can then visit their nearest experience centre to get mentorship and
support from a certified teacher.
“We operate in two models. First, we have home based learning
centres, completely managed by our top teachers. Second, we have
partnered with several space-sharing companies to lease safe and
asset-light shared learning spaces to set up a PlanetSpark experience
centre that can accommodate 50-100 students while keeping the capex
minimal. We have already set-up over 300 experience centres and are now
live in 7 cities across India. We are on a rapid expansion mode and aim
to be the largest player in the O2O edtech space by the end of 2019.â€,
says Maneesh Dhooper, Co-Founder of Planet Spark.
Backed by FIITJEE, India’s largest Education company, PlanetSpark
will use the funds to aggressively grow its online learners to 5 million
and its offline experience centres across 5 more cities.
How online education is leveraging AI to offer greater benefits?
Online education has managed to reform classrooms and teaching methods.
Artificial Intelligence has proven its role in various industries including manufacturing, healthcare and education. AI can bring unimaginable transformation.
Online education has managed to reform classrooms and teaching methods. Yet expecting to see true disruption of education. Artificial Intelligence has proven its role in various industries including manufacturing, healthcare and education. AI can bring unimaginable transformation.
The online education model simply paved over the older methods with
technology, utilizing AI with advanced algorithms, provide adaptive
learning. CiOL spoke to Diwakar Chittora, CEO & Founder, Intellipat
to understand the education sector and how AI is helping students to
gain most knowledge possible.
How AI adoption can change online education?
AI has automated the industry to a great extent, helping both
students and teachers in gaining the most out the immense opportunity,
all while democratizing education amongst all. While they focus the
learning outcome of the student, helping students gain the most
knowledge possible, for teachers, they provide an in-depth analysis on
how to improve their learning delivery and ways, thereby empowering
educators to maximize their skill set.
What are the key security hurdles for online education Industry?
Online education was initially, in dire needs of security awareness
because of the very nature of its structure. Being entirely online
encompasses the administration process, making it liable to sensitive
information. Now, with the addition of AI into the system, the security
gaps are being bridged and the framework is being bolstered with quality
protection.
Which online certification has higher interest? And its future scope?
In the current job scenario where the value of a candidate depends
upon an impactful CV, a relevant certification can add the much required
USP into a lifeless resume. In our endless interaction with students,
we have seen the trio of Data Science, Machine Learning and Artificial
Intelligent being the high points of interest.
Also cloud certifications such as AWS, DevOps, Azure and for
programming languages, Python are high in demand by both learners and
recruiting organization. This interest is not unfounded- Data Science,
along with Artificial Intelligence and Machine Learning, has become
crucial, owing to its role in improving business and decision makings,
while providing the biggest edge over the competitors.
Predictions for online education industry
The whole market is improving year by year, with a CAGR increase of
approximately 10-15 % boost and an upcoming boost 15-20% to be seen.
Now, the present year will see a further rise in the demand of Data
scientists, in integral positions of the business framework.
Apart from being the leading software producer of the world, India
has risen to become the leading generator and provider of IT- empowered
engineers, who creating an impact on how the world conducts business.
All this, coming together will empower the system creating ripples in
the framework of education.
Posted by AGORACOM-JC
at 2:00 PM on Thursday, March 14th, 2019
SPONSOR:Â Betteru Education Corp. Connecting global leading educators to the mass population of India. BetterU Education has ability to reach 100 MILLION potential learners each week. Click here for more information.
BTRU: TSX-V
————————
Online platforms a step towards democratizing the education sector
Govt is urging colleges to offer online courses in rural India so that education reaches all
Online programmes are set to grow and we will see lots of innovation in the coming years
From ordering vegetables online to ordering classes online, we have
travelled a long way! The Internet of Things and digital transformations
have given us shocks as well as pleasant surprises. Like any other
industry, the wave of digital technology and improving bandwidths has
affected the education sector as well. Both the demand and the supply
side are witnessing an impact. Online education in
India has seen active growth over the last decade. The factors that
have led to this growth are better telecom and internet bandwidths
across India leading to growth in the usage of smartphones and hand-held
devices, advancement in video conferencing technologies, advent of
technology platforms for seamless transfers, and an ever-increasing need
for skill certification remotely and at the convenience of the student.
The consumer centricity that we have observed in conventional
product/service marketing is now being seen in education through online
programmes offered by reputed institutes in India. Online programmes can
be paid or free (famously known as MOOC, as in massive open online courses).
Online programmes can be live mode where faculty and students are
online at the same time. There are also recorded versions where the
participants can watch the class on the go at their convenience. Both
these types have their merits and demerits. The biggest factors
contributing to the growth of online programmes are its deep
penetration, convenience of learning infrastructure, skill upgradation need, and career break gaps.
The government is encouraging colleges to offer online courses in
rural India to ensure that education reaches all. Online programmes give
an opportunity to all to learn from institutes of repute. For
autonomous institutes, the deep penetration and reach of online
programmes is a step towards democratization of education and equal
opportunities for all, irrespective of their geographical location. The
other factor contributing to the growth is the convenience that online
courses offer to the participants where they can learn from any
hand-held device at their time and without leaving their jobs. This is
only getting easier with the improvement in bandwidths and penetration
of smartphones and mobile services. The third factor that has led to the
growth of online programmes is the element of constant change. Working
professionals enrol in niche and domain-specific online programmes to
upgrade their skills, learn new skills, or relearn conceptual areas of
work. The most interesting segment that has emerged over the last few
years is the segment of mostly women and some men who have taken career
breaks. These are women who have taken a maternity break and after a few
years want to get back to their professional life. For these people,
online programmes are a blessing and help them fill the gap created and
help them prepare for second term of their careers.
One more emerging segment is that of startups. Many startup owners’
sign up for online programmes as they lack certain skill sets and these
courses are an easy and effective way to learn and get certification.
As we grow in this space, institutes are reinventing and upgrading
online programmes in course content, delivery platforms, pedagogies, and
innovation. In programmes that I offer, there is a lot of usage of
videos, TED talks, in-class group exercise, and live discussions.
Online programmes are set to grow and we will see lots of innovation
in the coming years. The biggest factor pushing the growth is technology
infrastructure, cost, flexibility, and convenience. The advantage of
this growth will be in reach of education and specialized skills reaching everywhere. Online programmes are here to stay!
Falguni Vasavada-Oza is a professor at MICA, Ahmedabad.
Google is expanding its suite of apps designed for the Indian market with today’s launch of a new language-learning app aimed at children, called Bolo.
The app, which is aimed at elementary school-aged students, leverages technology like Google’s speech recognition and text-to-speech to help kids learn to read in both Hindi and English.
Google is expanding its suite of apps designed for the Indian market with today’s launch of a new language-learning app aimed at children, called Bolo. The app, which is aimed at elementary school-aged students, leverages technology like Google’s speech recognition and text-to-speech to help kids learn to read in both Hindi and English.
To do so, Bolo offers a catalog of 50 stories in Hindi and 40 in English, sourced from Storyweaver.org.in. The company says it plans to partner with other organizations in the future to expand the story selection.
Included in the app is a reading buddy, “Diya,†who encourages and
corrects the child when they read aloud. As kids read, Diya can listen
and respond with feedback. (Google notes all personal information
remains on-device to protect kids’ privacy.) Diya can also read the text
to the child and explain the meaning of English words. As children
progress in the app, they’ll be presented with word games that win them
in-app rewards and badges to motivate them.
The app works offline — a necessity in large parts of India — where
internet access is not always available. Bolo can be used by multiple
children, as well, and will adjust itself to their own reading levels.
Google says it had been trialing Bolo across 200 villages in Uttar Pradesh, India, with the help of nonprofit ASER Centre. During testing, it found that 64 percent of children who used the app showed an improvement in reading proficiency in three months’ time.
To run the pilot, 920 children were given the app and 600 were in a control group without the app, Google says.
In addition to improving their proficiency, more students in the
group with the app (39 percent) reached the highest level of ASER’s
reading assessment than those without it (28 percent), and parents also
reported improvements in their children’s reading abilities.
Illiteracy remains a problem in India. The country has one of the
largest illiterate populations in the world, where only 74 percent are
able to read, according to a study by ASER Centre
a few years back. It found then that more than half of students in
fifth grade in rural state schools could not read second-grade textbooks
in 2014. By 2018, that figure hadn’t changed much — still, only about
half can read at a second-grade level, ASER now reports.
While Google today highlights its philanthropic efforts in education,
it’s worth noting that Google’s interest in helping improve India’s
literacy metrics benefits its bottom line, too. As the country continues
to come online to become one of the largest internet markets in the
world, literate users capable of using Google’s products like Search,
Ads, Gmail and others are of increased importance to Google’s business.
Bolo is available now on the Google Play Store in
India, and works on Android smartphones running Android 4.4 (Kit Kat)
and higher. The app is currently optimized for native Hindi speakers.
Tags: edtech, google, stocks, tsx, tsx-v Posted in All Recent Posts, betterU Education Corp | Comments Off on BetterU Education Corp. $BTRU.ca – Google $GOOG introduces educational app Bolo to improve children’s literacy in India $ARCL $CPLA $BPI $FC.ca
Posted by AGORACOM-JC
at 5:01 PM on Friday, March 1st, 2019
OTTAWA, March 01, 2019 — betterU Education Corp. (TSX VENTURE:BTRU) (FRANKFURT:5OGA), (the “Company” or “betterU”) announced today it has filed its financial results for the nine months ended December 31, 2018. betterU is a Global Education Marketplace for emerging markets. The Company aggregates education, educational services and employment services from quality Institutions including universities, colleges, Industry leaders and corporations from around the world and makes their programs available to students through the betterU marketplace. betterU has now over 20,000 programs available.
Highlights for the nine months ended December 31, 2018 include:
For the quarter, the Company reported revenues of $13,728, and a net loss of $867,214.
On October 15th, 2018, betterU entered into two loan agreements
totaling $613,000 and entered into an agreement with AIP Asset
Management Inc., (AIP) for an investment of $2.5 million to support
ongoing operations and growth until the TUC funding is received. AIP and
betterU are working through all the definitive agreements in connection
with this funding.
On October 30, 2018, the Company provided an update on the investment progress.
According
to a written update provided to betterU on October 28th, 2018 by Mr.
Kenny Ho, CFO and Chairman of TUC Co. Ltd., (“TUCâ€) Mr. Ho indicated
that he arrived in Tokyo, Japan to review the amendments on Wednesday,
October 17th and that they completed the required documents on Friday,
October 19th. Mr. Ho further indicated in writing to betterU that he has
decided to remain in Tokyo until the funds have been released. Mr. Ho
expects there will be no further delays yet has not provided betterU
with definitive timelines for the release of funds. While Mr. Ho also
indicated that he expects the funds to be released shortly, betterU is
reluctant to commit to any dates having experienced many previous
delays. “While we remain confident in this opportunity, the ongoing
delays and missed timelines provided by TUC have proven to be difficult
in managing market expectations. Our focus has been and continues to be
on the development and growth of betterU,†said Brad Loiselle, President/CEO of betterU.
Outlook:
On Jan. 17, 2019 the Company provided following updates on its funding activities:
The
Company has completed a $1,250,000 equity investment by HT Overseas
Pte. Ltd., a wholly owned subsidiary of HT Media Limited, (“HTâ€) for the
purchase of 2,976,190 common shares of the Corporation at $0.42 per
share (the “Private Placementâ€) with a hold period expiring on May 17,
2019. As previously announced on December 21, 2017, HT’s $10 million
investment is provided to betterU in eight (8) tranches over two years,
this being the 3rd tranche with the full investment immediately being
paid to HT’s Media Groups by betterU to support betterU’s mass marketing
efforts across India.
The Company, over the last few months, has
been working on multiple funding opportunities motivated by the ongoing
delays from the $100M investment from TUC Co, Ltd. (“TUCâ€). These
delays have not been explained in detail to betterU because according to
GDS Holdings Ltd. (“GDSâ€), they are under confidentiality agreements
with their investment partners. betterU has received over 400 emails
over the last year with discussions not only with TUC and GDS, but also
with other organizations that are also part of TUC’s investment
portfolio. betterU has been in active discussions with the CEOs for
multiple groups in Canada and the USA with whom TUC and GDS have also
promised funding. Despite the ongoing support and assurances made by TUC
and GDS however, with these ongoing delays, it is not sustainable for
betterU to rely solely on TUC or GDS, so betterU has had no choice but
to seek other investment opportunities as outlined further below.
betterU’s agreement with TUC and GDS will remain active and when and if
GDS funds are released they will be in accordance with the terms of the
agreement executed by TUC and betterU on February 1, 2018.
The
Term Sheet with AIP Asset Management Inc., AIP Inc. (“AIPâ€) for
financing of $2.5 Million previously announced October 15, 2018, is
currently under review by betterU. AIP requires as a condition to
closing the financing that a subordination agreement (“SAâ€) be executed
by the creditors of betterU. After betterU’s creditors reviewed the SA
provided by AIP, they felt it was punitive to their rights as creditors
and decided not to sign it. betterU has been in discussions with AIP to
determine alternative solutions and while AIP is willing to provide
betterU with more time, at a cost, they still require that betterU’s
creditors execute on the SA. A further update to the market will be
forthcoming as this materializes further.
Additionally, in early
October 2018, betterU was invited to present to dozens of investors
organized by a Montreal investor relations firm known to betterU, Mi3.
During these events, betterU was introduced to the CEO of Quantiium
Capital Management Corporation (“QCMCâ€) an alternative funding group
located in Montreal QC who expressed interest in betterU. Over
subsequent months, betterU met with their leadership teams in Montreal,
Toronto and at betterU’s office in Ottawa. Following QCMC’s due
diligence process, a Letter of Intent was offered and executed by both
parties on December 5, 2018 which supports an investment of 5 Million
Euro (approximately CND$7.5M) through a credit facility backed by QCMC.
The agreements are currently under development with QCMC and the credit
facility is expected to be issued in favour of betterU. Further details
will be provided to the market as the agreements and timelines
materialize.
All investments are subject to board of director and
TSXV approvals. The Company wants to emphasize that they have no
control over the timelines of these investments.
On Jan. 29, 2019, the Company announced that the successful
acquisition of two corporate training contracts worth $26,812 with
Larsen & Toubro (L&T) and Maharashtra State Electricity
Transmission Company Limited (Mahatransco), both located in Mumbai,
India. These two training programs come on the heels of betterU’s
efforts to enhance their revenue focus and after the successful
completion of other such training programs and custom development
projects with groups such as Central Bank of India, Dena Bank,
Confederation of Indian Industries (CII), Indian Oil Corporation Limited
(IOCL), Blue Star, Dimension Data, Evry India and Acliv Technologies.
Additional information concerning the Company, including its audited
consolidated financial statements and its Management’s Discussion and
Analysis of Financial Condition and Results of Operations (“MD&Aâ€)
for the year ended March 31, 2018 can be found at www.sedar.com.
About betterU
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
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MUMBAI — India, widely considered the birthplace of the number zero,
has a proud mathematics tradition. So it came as a shock to Byju
Raveendran when he learned that many middle school students were unable
to do basic arithmetic.
This was before 2011, and the struggle continues. In 2018, one study
by a nongovernmental organization found that 56% of eighth-graders could
not solve a three-digit by one-digit division equation.
Raveendran, who calls himself an “accidental entrepreneur,” is
determined to crack the problem with his $4 billion startup Byju’s, the
most valuable education venture anywhere.
The 38-year-old wants to do more than that, though — he is out to change the way the rest of the world learns, too.
Byju’s exemplifies a new wave of Indian startups that are tackling
social issues, like inadequate medical care or poor logistics, rather
than trying to compete in fields such as ride-hailing or e-commerce. And
the company has made believers out of Facebook founder Mark
Zuckerberg’s philanthropic foundation, Chinese tech giant Tencent Holdings and the World Bank Group’s International Finance Corp.
All have invested, helping to make Byju’s the fifth-largest unicorn
in India, out of 14 startups with valuations of at least $1 billion as
of January, according to U.S. research firm CB Insights.
Byju’s educational approach centers on a freemium app, combining free
access with subscriptions. It features slick and colorful videos with
animations designed to keep children captivated. “I help [students]
visualize concepts instead of just discuss theories,” Raveendran told
the Nikkei Asian Review.
The app has been downloaded 30 million times and attracted 2 million
paying subscribers. Three or four months into a subscription, Byju’s
conducts an online assessment and, depending on the student’s progress,
assigns a personal mentor.
The company appears to be getting results both educationally and, to an extent, financially.
Akshath Mugad, an 11th-grade student preparing for exams in Mumbai,
and his sister Akriti Mugad, a seventh-grader, have been using the app
for the past three months.
Akshath has never taken private tutoring. He said most such programs
move at their own pace, out of sync with the school curriculum. But
since the Byju’s app is personalized and covers everything from physics
and chemistry to biology and math, he is able to keep up with his class.
Meenakshi Mugad, their mother, said it is hard to tell how much the
app helps until they take a test. “But I can see them taking interest in
the lessons without me having to push them to study. That’s a
positive.”
An International Finance Corp. study on Byju’s last year found that 92% of 20,000 parents reported improvement in grades.
When it comes to earnings, Byju’s is not yet profitable, but it has
doubled its revenue over the past three years. For the fiscal year
through March, it expects to log 15 billion rupees ($209 million) in
revenue, triple the previous year’s figure.
For the fiscal year ended March 2018, Byju’s nearly halved its net loss, to 372 million rupees from 618 million rupees.
The company employs around 3,200, including a large video, animation
and information technology team that produces clips that simplify
subjects for students in grades four through 12. It also offers
materials to help with entrance exams for engineering, medical, civil
service and business schools.
The videos range from 30 seconds to 25 minutes depending on the
subject, and users spend an average of 64 minutes a day on the app.
Behind the scenes, the venture uses artificial intelligence to
recommend the learning materials that are best suited to a particular
user. “We’re focused on deepening understanding, not having children
memorize things to pass tests,” said Raveendran, who serves as CEO of
operating company Think & Learn, though the business goes by its
brand name.
An overreliance on rote memorization is often considered one
shortcoming of Indian education. The country of 1.3 billion also faces a
shortage of over 500,000 elementary school teachers, while 14% of
government-run secondary schools do not have the prescribed minimum of
six instructors, according to a report by the Centre for Budget and
Governance Accountability and Child Rights and You.
A high school class in the state of Uttar Pradesh: The country of 1.3
billion faces a shortage of teachers and schools. (Photo by Kosaku
Mimura)
The India Brand Equity Foundation estimates the country needs 200,000
more schools, 35,000 more colleges, another 700 universities and 40
million more seats in vocational training centers.
Overcrowded classrooms, a lack of teachers in suburbs and rural areas
and generally low government spending on education have all given rise
to a major side industry: tutoring.
Most of these services give students more face time with teachers but do little to inspire.
Byju Raveendran speaks to the Nikkei Asian Review at his company’s headquarters in Bangalore. (Photo by Rosemary Marandi)
“Traditionally, parents tend to believe that the right education can
be imparted only in a face-to-face manner, preferably in a classroom,”
Raveendran said. “Also, in India and several parts of the world,
learning is driven by the fear of exams rather than the love of
learning. The mindset has been our biggest challenge.”
It was in this environment that Raveendran carved a niche.
Raveendran, who hails from the southern coastal village of Azhikode
in the state of Kerala, was a standout student himself. While traveling
the world as an engineer for a British shipping company, he came home
for a holiday and took the entrance exam for the country’s top business
schools, the Indian Institutes of Management. He scored in the 100th
percentile.
Yet he did not enroll. He had found his true vocation helping friends
prepare for the same test. He went from holding impromptu sessions for
his buddies to speaking to 1,200 people in packed auditoriums.
The success of these sessions prompted Raveendran and some of his
students to try creating videos. In 2011, when he started the company,
he had some of the best and brightest producing content. His first eight
employees were all former students who had attended top business
schools and gained experience at well-known companies like Boston
Consulting Group.
Early backers included Mohandas Pai, a former CFO of information
technology consultancy Infosys, who had attended one of Raveendran’s
auditorium lectures. The first round of venture capital funding came in
2013.
Along the way, Raveendran leveraged his own star power as a renowned
tutor, and later brought in Bollywood superstar Shahrukh Khan as a
pitchman. The spread of affordable smartphones in India also helped
Byju’s take off.
Investors appreciate the founder’s determination to monetize the app in an age where many expect online content for free.
GV Ravishankar, Sequoia Capital’s managing director for India, wrote
in a note about Byju’s that most education technology companies cite
large numbers of visits or downloads of free content. The plan always
seems to be to monetize someday in the future.
“With so many resources available online, there is limited perceived
value if something is offered free,” Ravishankar wrote. “Parents are not
looking for free ways to make their child successful. They are looking
for The Best Way! Have the courage to charge for the value you provide.”
Byju’s packages start from $160 a year, a significant sum in a country where annual per capita income averages around $1,670.
Its closest competitor, Toppr, has attracted 5 million users with
stories and games and charges $70 to $352. The Khan Academy, a U.S.
nonprofit organization, posts video breakdowns of complex math and
science on YouTube for free.
N Chandramouli, chief executive of TRA Research, thinks Byju’s has
taken coaching to a different level. “It has created a sense of
curiosity among the students. … Their style of communicating has been
very subtle, it is targeted at the child, not the parent. They are
changing the way kids learn and preparing them to face life.”
Raveendran said the challenge is not just to persuade parents to pay
for content, but to raise awareness of online tutorials in the first
place. He also expects a wave of technology-driven change in Indian
education.
“There is no place for complacency for us,” Raveendran said. “We need to grow and grow fast.”
To help spur that growth, Byju’s in 2017 started recruiting teachers
from across the English-speaking world to come and record videos in its
Bangalore studios. The company looks for educators with large followings
on YouTube and pays them to participate, hoping their fans will follow
them to the Byju’s app. The company would not say how much it pays the
teachers.
Byju’s is growing through acquisitions, as well. It has made four so
far, aimed at either securing content or extending its global reach.
The latest came in January. Fresh off a $540 million round of funding
from South African media company Naspers and the Canada Pension Plan
Investment Board, the unicorn announced a $120 million deal for Osmo, a
U.S. developer of online learning tools that mix in offline activities.
Byju’s wanted to make an acquisition “that will eventually help us
launch in a new market,” Raveendran had told Nikkei before the deal.
By the July-September quarter, Byju’s plans to make its app available
in the U.S. and some Commonwealth countries such as the U.K., Australia
and New Zealand on a trial basis. The startup will introduce materials
for kids ages 5 to 8 in these countries, with a heavier emphasis on
game-based learning than pure visuals.
“We are in the process of building a product for international
markets,” the founder said, adding some of the most popular YouTube
teachers are helping with this.
Raveendran is confident parents outside India will buy what Byju’s is selling.
Harish HV, a former partner at Grant Thornton India, agrees. “In the
Western world,” he said, “those who get the benefit of education would
definitely be willing to pay and will pay. It would depend on the
product they introduce there, how they market it. I don’t see a
problem.”
Whatever happens abroad, Raveendran sees the huge Indian market as a
strong backbone. He is aiming for an initial public offering in two or
three years and reckons the company will be successful enough at home to
go ahead. “By that time we will generate enough money from the Indian
business itself,” he said.
But Raveendran harbors bigger ambitions.
“We have the required talent and capabilities [to] create a product
for students across the globe,” he said. “Currently, there are no
products like Byju’s Learning App which can reach out to such a large
number of students and create great engagement at the same time.
“We strongly believe that such a product can come out of India.”
Chennai: Bengaluru’s Mariam Fatima, a middle school social s ..
