Rothin Bhattacharya gives an overview of of the education technology space at CSF's EdTech Media Workshop.

1. ICT and Devices in
K-12 Education
Rothin Bhattacharya

2. Education market in India is estimated to be ~ US$ 135 billion by 2020,
of which the e-learning market alone will constitute ~US$ 7 billion
2010
+12%
Supplementary
Mainstream
2020
75-78
14-15
30-31 55-58
Size
USD billion
11
15
Growth
%
▪ Large and fast growing student base
▪ High student accountability
supplemental education
– Poor quality of teaching
– Few good HE institutes -
competition
▪ High private participation in education
+42% p.a.
2020
~7.2
2010
~0.2
Drivers of growth
Indian e-learning market, 2010-2015
$ billion
Indian education market, 2010-2015
$ billion
Indian Education market

3. Content Server
@ School
digischool
Resource Center
Classroom PC Classroom PC
Classroom PC Classroom PC
Classroom PC Classroom PC
Classroom PC Classroom PC
Digital
Multmedia
Content
Projector
Interactive
White Board
SRS
ICT in schools Speakers

4. K- 12 ICT Market in India
Total number of classrooms in India- 4 Mn, out of which 0.15Mn is penetrated.
95% is the opportunity which is still not penetrated

5. Benefits of ICT?
Access to rich content
 Multimedia content on various topics by experts helps
better student understanding
 Addressing the hard spots in the curriculum
Quality content
 The content helps the school’s to address the problems
related to the quality of faculty
Increased retention and student engagement
 The multimedia content, virtual labs, simulations help
teachers to make the content more interesting

6. Key Challenges faced by school ICT players
 Content evaluated on quantity rather quality
 Schools are not able to differentiate between the products
basis the content and try to go for volume of content rather
than quality
 % utilization of the product
 Teachers are not familiar with technology and frequent
power cuts become hurdle
 Customer try to Marketing objective , rather than academic
 Schools are adopting the technology as a ‘me too’ solution
rather than focusing on academic outcomes

7. National Policy on ICT in School Education (Draft, 2009)
Policy
3 stages of ICT
implementation
ICT literacy & competency
ICT related electives
ICT enabled teaching
Computer lab with atleast 10
networked computers
Atleast 1 classroom with
audio visual facilities
Broadband connectivity

8. Government, Education & ICT
 ‘Mission in Education through ICT’ - Rs 9000
million
 Opening up the education sector for foreign
institutions
 PPP: To set up 2500 model schools, spending
Rs 100 billion
 CBSE: Pro-active promotion of use of
technology in affiliated schools
 NIIT has provided computer-based learning to
over 16,000 government and private schools
across the country cumulatively impacting
lives of more than 10 million kids

9. ICT – Challenges: Private vs. Public
Private
Public
Differentiating offering
Competitive intensity
Content Design: Regional Boards and numerous publishers
Tech. adoption: Lack of quality teachers
Digital Classroom no more a differentiator for schools
B2B2C
B2G2C .
Large upfront investment, low ROIC .
L1 bidding: commoditization & low margins .
Long working capital cycle .
Challenges

10. • Interactive—
Active Learning
• Learning
Outcomes-based
• Research Driven,
Learner centered
Constructive
Learning
• Buildings
• Time-based
• Rigid, Factory-
model
education
• Rote Learning
• Textbook-
driven—passive
learning
Digischool In Classroom
Interactive Learning –
Teacher Supported
Tabletbased
personalizedlearning
PeertoPeer
collaborativelearning
Digital interaction goes Mobile

11. Learning devices changing the learning paradigm
25:1
When resources are constrained
Limited to computer Literacy
1
PC Lab Increasing access to devices
Learning across curriculum
Computer on wheels: 1 to 1
eLearning in School
Classroom eLearning
2
Dedicated device@ school/home
Self-paced learning
Max. access to technology
One-to-One eLearning
3
Effective Technology
Environment
Enhanced Teaching &
Learning
Access to devices
Teacher Administ-
ration
Student

12. One-size-fits-all To 1:1 E-learning
The future of personalized learning

13. • Mobile devices would outship PCs by more than 2 to 1
and generate more revenue than PCs for the first time in
2012.
• 85 billion mobile apps will be downloaded, and mobile
data network spending will exceed fixed data network
spending for the first time
• Mobile devices spending will grow 23%, driving 43% of IT
growth
• Over 700 million smartphones and tablets will ship, a
jump of 34%, nearing 2x PC shipments.
• 1.5 million mobile apps will be available, over 15 times
the number of PC apps
Self learning device revolution
Source: December 2011, IDC #231720, Volume: 1
Internet adoption combined with above device revolution would lead to
mobile/tablet based self learning revolution

14. 14
IPTV
USB Internet +
Content Dongle Android TV 2 Way Live Learning Content Delivery
On Broadband
Educational
Tablet
Assessments-
Outcome
based (Both
for K-12 and
HE)
Professional and
Career skill
enhancement- HE
and CDC
Test Preparation (Both
Graduation and Post
Graduation)
Content:
Static
Dynamic
Collaborative
Curricular Based
Content (K-12) and
game based
learning
Self learning content on various devices
Form Factors

15. Conclusion: Is technology the silver bullet for school
education in India?
Investing in Right quality content for devices
 Content on devices which can provide Access, Equity and Quality to
student
Teacher training on technology
 Training teachers on technology would enable growth and adoption of
technology
Learning outcomes for students
 Effectiveness through Measurable learning outcomes needs to be
derived
With the right content and making technology simple can help making school
education in India achieve global standards

16. Thank You

17. Overview of the Indian Education Sector
Education Sector in
India
K-12
Schooling
Higher &
Professional
Education
Vocational
Training
Coaching/
Tutoring
Educational
Services
USD 20 Bn
Market Size
(2008): USD
50.1 Bn
USD 20 Bn* USD 6.4 Bn USD 1.9 BnUSD 1.5 Bn
CAGR: 14%
40% 0.6%12.6% 3.8%3%
14% 12% 15% 18%25%
Segment
Pie
CAGR
Regulated – School Fees Unregulated
Preschools
USD 0.3 Bn
40%
36%
Market
Size
►KG to 12
►Engineering
►MBA
►Medical
►Sector specific
►Industrial training
► Out of class
tutoring for K12
► Test Preparation
►ICT & Multimedia
►Books
► Skill development
► Preschool/
Playschools
► Millennium
► Zee Group
► DPS
► GEMS
Key
Players
► Manipal
► Amity
► Symbiosis
► NIIT
► Aptech
► IIHT
► Jetking
► HCL
► FIITJEE
► Bansal
► Mahesh Tut.
► Educomp
► HCL
► Teach Next
► Edurite
► Kidzee
► Mothers
Pride
► Shemrock
Source – Ernst & Young

18. Six primary themes of Indian education market
Vocational
skills
Theme 3:
University or
chain of colleges
▪ Second largest
segment
▪ Growth, partly
due to ease of
entry in same
states
▪ Highly regulated,
with uncertainties
Theme 5:
Vocational skills
▪ Small but growing
rapidly
▪ Significant
industry and
government push
▪ Emerging large
scale for-profit
plays
▪ Not much
regulation (though
certification may
start)
Theme 1: Pre-
schools and play
schools
▪ Small though
growing rapidly
▪ A couple of large
chains with highly
fragmented and
local competition
after that
▪ Branding
becoming
increasingly
relevant
Theme 4: A range of services in K-12 and higher ed
▪ Maximum new player activity
▪ Maximum recent for-profit and investor activity
▪ Low entry barriers; however, large scale profitable play needs careful
choice of segments and appropriate business model
Limited (counted
above)
Limited (largely
supporting in
nature)
Primary and upper primary
Pre-primary
Secondary Tertiary/Higher
Standards 1-8 Standards 9-12 Under-grad, PG,
Ph.D., etc.
2-5 years 5-13 years 13-17 years 17-25 years 15-25 (and beyond)
Theme 2: Running a chain of schools
▪ Largest segment currently
▪ Rapid growth, though significant variation across
segments
▪ Several new forms of competition
▪ Regulated though reasonably clear and stable
regulations
Theme 6: technology – led interventions
▪ Minimum investment required for the launch of technology related offerings
▪ Increased reach and relevance across a wide range of students

19. Indian Education market

20. ICT – Offering & Challenges: Private vs. Public
Private Schools Public Schools
Offering
 Multimedia content to supplement learning,
augmented by central computers/ server and
digital display infrastructure in classrooms as
well as maintenance services
 IT Hardware for a computer lab along with educational
software/ content loaded as well as maintenance and
training
Business
Economics
 The upfront capex is high and incurred by us
 Certain amount is charged per month per
student
 Capital cost is recovered in a little over a year
 The upfront capex is to the tune of INR 3Lakh (~30%
of contract value) for setting up a lab excluding the
recurring running and maintenance costs
 ICT payments are cleared on quarterly basis
throughout the duration of the contract at a pre-
determined contract value (per school per year)
Highlights
 Highly underpenetrated market offering
tremendous growth potential
 Existing model set to witness high growth due to
high return without any investment for schools
 Annuity model, with schools tied in by long term
contracts
 Govt. to increase spends (allocation for SSA increased
4x in 11th plan)
 Annuity model, with schools tied in for long term
contracts
Challenges
 With duplication of content, differentiating our
offering is a challenge
 Competitive intensity is increasing with more
players from related segments are entering
 Regional Boards and numerous publishers make
designing the content a problem
 Lack of quality teachers make technology
adoption a major hurdle
 With increasing penetration, Digital classroom is
no more a differentiator for schools
 It is still B2B2C
 Large upfront investment, low ROIC
 L1 bidding leading to commoditization & low margins
 Long working capital cycle associated with
government projects
 It is B2G2C

21. Government, Education & ICT
 Provision for the scheme ‘Mission in Education through ICT’ has been substantially increased
to Rs 9000 million
 Possibility of opening up the education sector for foreign, private institutions
 Government to focus on PPP models in the education sector across K12 education, higher
education and vocational training
 Roping in the Private sector for setting up 2500 model schools, thereby spending Rs 100
billion through PPP models
 CBSE has been pro-actively promoting the use of technology in schools affiliated to it
Few key initiatives
 Results on the Net
 Online Admission Counselling
 Distance Education
 Online NCERT Textbooks for Classes I to XII