What Signals a Smart Investment?| EdSurge Research

www.stateofedtech2019.com

This report details some of the major changes in EdTech investment since 2016.

  • From 2016 to 2018, funding for K-12 products remained flat at around $318M. At the same time, funding for postsecondary and informal learning took off.
  • In k-12 there have been fewer investments made, but the average size of those deals has grown from $3.5M in 2016 to $5.4M in 2018.
  • Investors told us that they used to invest in companies that showed user growth. Now they look for companies that demonstrate growth in sales, revenue and renewals.
  • Funding for curriculum products is down—to just 25 percent of the K-12 sector, while funding for tools supporting classroom teachers and products for streamlining school operations has grown.

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