Who’s Making Real Money in Edtech?
From Babbel to Coursera, here are 14 answers to the question, “Which companies are making real money in EdTech?”
Although Duolingo gets most of the attention in the language learning space, you can’t overlook their German rival, Babbel.
Babbel has been absolutely crushing it since the pandemic started, and last year posted nearly $200 million in revenue for the first time. They are experiencing massive year-over-year growth, and haven’t even fully tapped the US market like Duolingo has.
They are still technically unprofitable, but given their growth rate and untapped markets, I think there is nothing but upside for them. Plus, with their subscription model having no free version, they don’t have to worry about converting free customers to paid, and I expect them to continue to outperform other language-learning rivals. From a business perspective, they get it.
John Ross, CEO, Test Prep Insight
EdApp is a fast-growing company that supports virtual corporate and retail training. With the stamp of approval from companies like Deloitte and Coca-Cola, this training platform has taken over the globe and earned $6.8 million in revenue in 2022, growing over 2000% in its first five years of business.
It’s likely so successful because it delivers assessment, performance, and training solutions with the help of convenient, ready-made courses and customizable course creation options.
Shawn Plummer, CEO, The Annuity Expert
Udacity is earning an estimated $249.5M, and that number keeps growing, making them one of the biggest players in EdTech. Beyond their rich library of available courses for professionals to upskill and reskill, they have partnered with aerospace pioneers Airbus to build custom Nanodegree programs, coaching, and reputable learning opportunities. They have managed to build credibility in an industry in which trust doesn’t come easily.
Ruben Gamez, Founder and CEO, SignWell
A noteworthy success story in the EdTech industry is Kahoot!. Established by Johan Brand and Jamie Brooker in 2012, Kahoot rapidly emerged as a frontrunner in the field. Their inventive platform enables teachers to design interactive games that captivate and challenge students, offering an enjoyable learning experience. Kahoot has experienced remarkable growth, securing multiple funding rounds.
While the company has yet to achieve profitability, its revenue continues to increase as more students and teachers worldwide embrace the Kahoot platform. Moreover, Kahoot has effectively monetized its platform through advertising, strategic partnerships, and the sale of additional content.
Burak Özdemir, Founder, Online Alarm Kur
In my opinion, Udemy is an online learning platform that offers courses on a variety of topics, including business, technology, and personal development. The platform provides learners with access to a vast library of courses taught by industry experts. Udemy also allows instructors to create and sell their own courses on the platform.
Rene Delgado, Founder and CEO, The Indoor Golf Shop
Quizlet is an online learning tool that provides learners with flashcards, games, and study guides for various subjects. The platform enables learners to create their own study materials or use those created by other users. Quizlet also offers premium features, including ad-free studying and additional study resources.
Salim Benadel, Director, Storm Internet
Pluralsight is an online learning platform that offers courses on software development, IT, and creative skills. The platform provides learners with access to a vast library of courses taught by industry experts. Pluralsight also offers skill assessments and certification programs.
Nick Edwards, Managing Director, Snowfinders
One company making real money in EdTech is 2U. 2U provides cloud-based software-as-a-service solutions to some of the world’s leading universities and educational institutions, helping them to deliver online degree programs, short courses, and boot camps.
The company’s mission is to develop technology that helps universities offer high-quality educational experiences to learners around the world. 2U has hundreds of partner programs across a wide array of disciplines and locations, which they support through their comprehensive suite of software and services.
Skillshare is an online learning platform that offers courses on creative skills, such as design, photography, and writing. The platform provides learners with access to a wide range of courses taught by professionals. Skillshare also enables instructors to create and sell their courses on the platform.
For EdTech success in India, there’s one company that’s crushing it—BYJU! This app-based learning platform is making real money by helping students across India learn in a personalized and engaging way.
With its fun and interactive approach to education, BYJU has become a household name in India. And let’s be honest, with the amount of content available on the platform, students could probably learn enough to start their own BYJU rival.
But all jokes aside, this Indian EdTech company is on a mission to revolutionize the way students learn, and they’re doing it in a way that’s both profitable and impactful. So, if you’re looking to up your learning game, give BYJU’s a shot—and who knows, you might just become a millionaire EdTech entrepreneur yourself.
Himanshu Sharma, CEO and Founder, Academy of Digital Marketing
The greatest online learning and homework help network for parents, students, and teachers is Brainly.
Brainly’s five-year search growth is 833%, making it undoubtedly one of the Edtech companies producing the most real money. On Brainly, individuals can post inquiries on a variety of academic areas and help their fellow students in order to earn points. Users of Brainly increased from 150 million in 2019 to 350 million in 2020.
Alex Constantinou, Managing Director, The Fitness Circle
Chegg is an online education portal that provides homework help, textbook rentals, and online tutoring.
Chegg was created in 2005 and has since grown to become one of the most successful EdTech companies in the United States, with over 6 million customers. As of 2021, the company’s sales exceed $1 billion, and it is valued at over $10 billion.
Ethan Bull, Owner, ProAssisting
Duolingo is a language-learning platform with courses available in over 40 languages. Duolingo’s courses are designed to be enjoyable and engaging, with game-like elements that encourage users to continue studying. As of 2021, I believe that Duolingo’s revenue is expected to be approximately $200 million, and the company is valued at $2.4 billion.
Jeff Romero, Founder, Octiv Digital
Coursera is one company that is quite successful in the EdTech space. It was founded in 2012 and has grown to offer over 6,000 courses and has over 77 million registered learners globally.
It has a freemium business model so that users can access some courses free, but requires a subscription to access more advanced content and certifications. The company also has over 275 partnerships with universities and organizations, which allows certain courses to be credit-bearing courses, further expanding their revenue streams.
The company went public in 2021 on the New York Stock Exchange and raised $519 million in its initial public offering (IPO). Coursera made $523 million in revenue in 2022, a 26% increase from the previous year. That’s real money!
Riya Shah, Marketing Coordinator, Achievable