Online Education Market Size, Share Global Analysis Report, 2023 – 2030

Industry Insights

[205+ Pages Report] According to the report published by Facts & Factors, the global online education market size was evaluated at $217 billion in 2022 and is slated to hit $475 billion by the end of 2030 with a CAGR of nearly 9.1% between 2023 and 2030. The market report is an indispensable guide on growth factors, challenges, restraints, and opportunities in the global marketspace.

The online education industry report covers the geographical market along with a comprehensive competitive landscape analysis. It also includes cash flow analysis, profit ratio analysis, market basket analysis, market attractiveness analysis, PESTEL analysis, SWOT analysis, Porter’s five force analysis, and value chain analysis. Additionally, the online education market report explores the investor and stakeholder space to help companies make data-driven decisions.

Market Overview

The growing competition among online degree providers and a large proportion of investments in the education sector has translated into massive demand for online education. Escalating the need for improving the quality of education and experience has enhanced the popularity of online education. A large number of startups delivering online education has disrupted the market space and increased venture capital funding. For the record, the U.S. venture allocation of funds for the edtech sector increased from $1.1 billion to nearly $8.1 billion.

Key Insights

• As per the analysis shared by our research analyst, the global online education market is projected to expand annually at the annual growth rate of around 9.1% over the forecast timespan (2023-2030)
• In terms of revenue, the global online education market size was evaluated at nearly $217 billion in 2022 and is expected to reach $475 billion by 2030.
• The global online education market is anticipated to record massive growth over the forecast period owing to the large-scale application of AI for e-learning in the education sector.
• In terms of type, the academic segment is slated to register the fastest CAGR over the forecast period.
• Based on technology, the mobile e-learning segment is slated to dominate the segmental surge over the forecast period.
• On the basis of end-user, the K-12 schools segment is slated to dominate the segmental surge over the forecast period.
• Region-wise, the Asia-Pacific online education market is projected to register the highest CAGR during the assessment period.

Industry Growth Factors

• The surge in the launching of cloud-based technologies will steer the growth of the global market trends

The introduction of cloud-based tools and an increase in online interaction for resolving doubts are predicted to steer the growth of the online education market across the globe. The large-scale use of cutting-edge hardware computing systems such as smartphones in educational activities will increase the scope of growth of the global market.

The large-scale application of AI for e-learning in the education sector will prompt the expansion of the market across the globe. Apart from this, online education providers are uniquely positioned for developing B2B alliances with firms focusing on upskilling their employees and garnering new talents. The move is projected to boost global market trends.

Furthermore, the growing trend for delivering distinctive learning experiences will steer the expansion of the global online education market. The growing digitization of education and the demand for tablets will proliferate the size of the market across the globe.  

Restraints

• Less access to the web can inhibit the growth of the global industry

Lower income and restricted web access can put brakes on the global online education industry. The growing addiction of children to smartphones, tablets, and laptops will further put brakes on the global industry.

Opportunities

• Increase in the AR and VR applications to open new growth opportunities for the global market

The growing use of AR and VR applications is predicted to create new growth avenues for the online education market across the globe. The onset of the IoT sector will create new facets of growth for the global market.

Challenges

• Low demand for smartphones and less internet penetration can put a big challenge for the global industry

People residing in rural regions have restricted access as a result of less web penetration and acceptance of smartphones. This has posed a huge challenge in the growth path of the global online education industry.

Segmentation Analysis

The global online education market is sectored type, technology, vendor, end-user, and region.    

In type terms, the global online education market is segregated into academic and corporate segments. In addition to this, the academic segment, which accrued more than 52% of the global market share in 2022, is slated to record the highest CAGR in the forecasting timespan. The segmental growth in the forecasting years can be due to a rise in the demand for online delivery of lectures in academic institutions such as schools, universities, and coaching institutes.

On the basis of technology, the online education industry across the globe is sectored into rapid e-learning, mobile e-learning, and podcasts. Furthermore, the mobile e-learning segment, which accrued a major share of the global industry in 2022, is slated to lead the segmental surge in the upcoming years. The segmental growth in the forecasting timeline can be owing to the large-scale use of mobile e-learning technology in online education activities.

End-user-wise, the global online education market is segregated into higher education institutions and K-12 schools segments. Moreover, the K-12 schools segment, which accrued a major share of the global market in 2022, is slated to lead the segmental surge in the upcoming years. The segmental expansion in the forecasting timeframe can be owing to the large-scale demand for online modes of education in K-12 schools.

Based on the vendor, the online education industry globally is divided into service providers and content providers.

Recent Breakthroughs:

• In the first half of 2022, Credly, Inc., a key software firm, recently declared its acquisition of Pearson plc, a key UK-based education & book publishing firm. The move is likely to expand the latter’s assessment abilities, learning capabilities, and workforce analysis. Furthermore, it will help in expanding the former’s global presence.
• In the second quarter of 2022, Class Technologies Inc., a key player in the digital learning sector, and Anthology, a key provider of ed-tech solutions, signed a deal as per which the former will acquire the latter’s virtual classroom. The move is likely to boost the growth of the online education industry across the globe.    

Report Scope

Regional Insights 

• North American Online Education market to establish a dominant position over the forecast timeframe

North America, which amassed more than 60% of the global online education market revenue in 2022, is anticipated to register notable growth over the projected timespan. The regional market expansion over 2023-2030 can be subject to an increase in the demand for bring your own device. Apart from this, the presence of key players such as Microsoft Corporation, Cisco Systems, Inc., and Oracle Corporation will steer the regional market expansion.

Furthermore, the online education industry in the Asia-Pacific zone is anticipated to register the highest CAGR in the assessment timeframe. The factors that are likely to influence the growth of the regional industry include a rise in the use of the internet and demand for smartphones in the countries such as India and China. The large-scale presence of educational institutes in the region will drive regional industry trends.

Competitive Space

• Saba Software 
• Microsoft Corporation 
• Lynda.Com 
• KallidUS Ltd. 
• Cornerstone on Demand Inc. 
• Docebo 
• Citrix Education Inc. 
• Tata Interactive Systems 
• Adobe Systems Inc. 
• Blackboard Inc. 
• Aptara Inc. 
• Mcgraw-Hill Education 
• K12 Inc. 
• Powerschool Group LLC 
• Cisco Systems Inc. 
• Skills2learn Ltd. 
• Oracle Corporation 
• City & Guilds Group 
• Centerpoint Systems Inc. 
• Adobe Systems Inc. 
• Articulate Global Inc. 
• Learning Pool 
• Sap SE 
• Edmodo

The global online education market is segmented as follows:

By Type Segment Analysis

• Academic
•  Corporate

By Technology Segment Analysis

• Mobile E-learning
• Rapid E-learning
• Podcasts

By Vendor Segment Analysis

• Service Provider
• Content Provider

By End-User Segment Analysis

• Higher Education Institutions
• K-12 Schools

By Regional Segment Analysis

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • Southeast Asia
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • Kuwait
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America