New Delhi
The Indian edtech industry experienced a remarkable surge in funding during the first half of 2024, with investments reaching $164 million. This represents a substantial 96% increase compared to the $81.9 million raised in the same period last year.
According to Tracxn, a market intelligence platform, India now ranks third globally in total edtech investment, with about 11,000 active companies. The country is also home to six edtech unicorns, placing it second globally after the US.
Neha Singh, Co-founder of Tracxn, highlighted the sector’s impressive adaptability amid shifting market conditions. Although funding levels are still below the peaks seen in 2021, there is renewed investor interest in 2024. This interest is partly driven by companies’ efforts to blend traditional learning methods with digital innovations.
Despite the sector’s growth, challenges persist due to macroeconomic conditions and the return to traditional in-person learning as schools reopen. Nonetheless, there remains a strong demand for innovative online courses and professional upskilling programs, especially where offline education is lacking.
The edtech sector has shown resilience in early 2024, with 24 funding rounds exceeding $100 million, though only four have occurred since early 2022. Bengaluru leads in funding, capturing over 64% of the total, followed by Delhi and Mumbai. The sector continues to benefit from technological advancements and supportive policies like the National Education Policy 2020, despite facing some difficulties.
